Track market-moving stories before they get noisy

JPMorgan just put its dollar-backed token on Ethereum's public blockchain, and Wall Street is watching to see whether one of the world's biggest banks can finally move the needle on ETH's battered price.

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JPMorgan Chase (NYSE:JPM | JPM Price Prediction) has officially moved its dollar-backed token, JPM Coin (JPMD), to the Ethereum (CRYPTO:ETH) blockchain. On October 19, 2026, Kinexys, the bank’s blockchain division, made JPM Coin available to select institutional clients on Ethereum’s mainnet, which is its primary public blockchain. This move brings JPM Coin to Ethereum, supplementing its previous version that was launched on Base, a more cost-effective layer-2 network developed by Coinbase Global (NASDAQ:COIN).

According to Kinexys, it has processed over $4 trillion in transactions since its inception, averaging about $7 billion each day. However, much of this transaction volume occurs on JPMorgan’s private Kinexys network, which operates separately from its public blockchain activities. The bank hasn’t disclosed how much of its total activity occurs on Ethereum or Base.

JPM Coin is essentially a deposit token, where each coin represents a U.S. dollar deposited in a client’s account at JPMorgan. This differs from a stablecoin, which is typically backed by a reserve pool managed by a non-bank entity.

Despite the launch, ETH did not see a price increase. ETH trades at $2,386, down 4.2% over the past week, 12.3% over the last two weeks, and 51.8% from its all-time high. So, does JPMorgan’s involvement with Ethereum provide ETH holders with a reason to be optimistic about future price increases?

JPMorgan Restricts JPM Coin to Approved Institutions

Importantly, only approved institutional clients can access JPM Coin. Retail investors are unable to buy or hold it, and all holders must have the bank’s approval. JPMorgan positions JPM Coin as a way for institutions to make payments around the clock, freeing up cash that would typically be tied up outside banking hours.

The bank chose the Ethereum network for its greater liquidity than other options and its existing institutional user base. Emma Landriault, the head of Kinexys Labs, highlighted this point, although her perspective comes from her role in promoting the product. JPMorgan aims to attract crypto companies looking for blockchain-based payments, as well as financial firms involved in trade settlements or tokenized assets.

While Kinexys represents a small portion of JPMorgan’s operations, the bank is massive, with $5 trillion in assets and revenue from consumer banking, commercial and investment banking, and asset and wealth management. In Q2 2026, JPMorgan’s payments revenue rose 12%, and net interest income rose 10%, though it has not reported specific revenue from JPM Coin.

The deposit-token structure also benefits JPMorgan; when clients hold JPM Coin, the dollars remain on the bank’s balance sheet as deposits. This allows the bank to continue lending those funds and earning interest, even as the cash moves to public blockchains.

How JPM Coin Affects ETH Demand for Transaction Fees

JPM Coin creates a direct link to ETH because every transaction on the Ethereum mainnet incurs a gas fee, which users pay in ETH. Increased institutional activity on Ethereum could modestly increase demand for ETH to cover these fees.

However, each JPM Coin corresponds to one dollar. Clients only need a minimal amount of ETH for transaction fees, and JPMorgan does not require clients to hold ETH as an investment. The bank has not set a volume target for its Ethereum transactions, nor has it disclosed how many clients are utilizing the token on the mainnet.

Base serves as a useful reference point. JPM Coin has been active there since November 2025, and Base fees are also paid in ETH. However, JPMorgan has not provided any usage statistics for Base, leaving it unclear how much demand there is for ETH in that context.

Stablecoins and ETF Outflows Limit the Lift for ETH

The competitive landscape further constrains JPM Coin’s potential. Existing non-bank stablecoins dominate the dollar token market on Ethereum, and JPMorgan and other major banks reportedly plan a shared tokenized deposit network that could challenge both stablecoins and crypto firms. Such a network could draw bank activity toward systems they directly control.

Market trends also do not indicate a positive outlook. ETH fell by 10.4% in October leading up to October 19. On October 18, it closed 5.9% below its 20-day average and 5.6% below its 50-day average, suggesting a downward trend.

Additionally, spot Ether ETFs experienced net outflows of $103 million on October 19, the day JPM Coin launched on Ethereum. This outflow indicates that investors pulled out more money than they added. Notably, BlackRock’s iShares Ethereum Trust (NASDAQ:ETHA) accounted for $95 million of that total.

Will JPM Coin on Ethereum Boost ETH’s Price? In our view, JPM Coin is unlikely to significantly increase ETH’s price in the near future. While JPMorgan benefits from 24/7 transaction capabilities, access to crypto-native firms, and deposits that remain on its balance sheet, ETH gains only a large bank’s endorsement and a minor stream of gas fees. Although Ethereum burns a portion of every fee, heavy use is required to meaningfully reduce ETH’s supply.

Contact [email protected] for any questions or corrections.

HPE just posted its worst week ever after a single analyst downgrade, yet its earnings are surging and its backlog hit a record high. The real question is whether the market sees a danger that the numbers are hiding.

Shares of Hewlett Packard Enterprise (NYSE:HPE | HPE Price Prediction) fell 20.56% in the week through October 19. It was its worst week ever, following an October 14 analyst downgrade that questioned HPE’s AI growth.

The drop hit a stock that already traded at a forward PE of roughly 12 to 15, while the broader market averages 30. Investors Dave Ahern and Stephen Morris recently debated whether that gap makes HPE an opportunity or a value trap.

Ahern asked: “Is that a lifetime opportunity, or does Wall Street know something that the rest of value investors maybe don’t know? Like, why is it so cheap?” The question is pressing because the results are strong.

Revenue in the fiscal third quarter rose 32.7% to $12.21 billion. Non-GAAP EPS of $1.11 beat the $0.93 consensus.

Morris rated HPE’s moat today as “next to non-existent,” and that view accounts for most of the discount.

A 12x Multiple Signals Doubt About Durability
A forward PE divides the share price by expected earnings. A low multiple therefore means investors doubt those estimates will hold, and the market is currently pricing in a fade in AI server demand.

The trailing P/E of 1300x is distorted by Juniper integration charges and a fiscal 2025 goodwill impairment. That is why the hosts focus on the forward number.

Analysts’ average fiscal 2027 EPS estimate is $4.7088, up from $4.0384 90 days ago. None of those analysts revised down in the past 30 days.

Management’s own fiscal 2027 framework calls for EPS of $4.40 to $4.60. That range leaves out the Helios AI rack opportunity.

Wall Street Turned Cautious After a Huge Run
Even after falling 8.05% over the past month, HPE is still up 135.22% year to date and 147.52% over the past year. Shares rose 1.29% on October 19 to $55.84. The post-downgrade rebound was small.

Although the market has embraced HPE this year, it remains unclear whether AI-driven earnings will last long enough to justify that price. Still, orders grew faster than revenue, and backlog hit a record while memory shortages held back shipments.

Servers Bring Growth Without Protection
Ahern’s long-term test sets the hype aside: “Forget the AI trade. What is a stock going to do 10 years from now?” AI server revenue fails that test because it is cyclical: orders shrink once data center buildouts slow, and nothing ties buyers to HPE.

Server revenue rose 35.3% to $6.77 billion on AI demand. Servers are a competitive, low-margin business, and customers switch suppliers over price, which is why the picks-and-shovels names behind the AI expansion (power, cooling, networking) often look more durable than the box makers; we rounded up seven of them in a free report here.

Management expects gross margin to return to historical levels as AI systems take up a larger share of sales. It guides Cloud and AI operating margin to about 13% in fiscal 2027.

Juniper Is HPE’s First Real Shot at a Moat
HPE closed its Juniper Networks acquisition and sold its remaining 19% stake in China-based H3C in May 2026. Together, those moves changed its business mix toward networking.

Networking gear is built into how a customer runs its operations, and it costs a lot to replace. The segment earned a 22% operating margin last quarter. With Juniper included, networking revenue jumped 74.9% to $2.89 billion, and orders rose 36%.

GreenLake lets customers pay for infrastructure as a service inside their own data centers, and it reached 52,000 customers, up 18%. Rising net retention would point to recurring revenue, while flat usage would suggest customers use it to finance hardware.

Discussing the chief executive’s vision, Morris said “the uncertainty around that statement is very high,” but added that if it “comes to fruition,” HPE “will be significantly untouchable.” Juniper likely moves HPE’s moat from absent to plausible, although the integration still has to prove it can hold customers.

What Could Close HPE’s Valuation Gap
HPE’s case looks strongest under Ahern’s 10-year test. The weekly drop and a forward multiple far below the market’s already price in heavy doubt.

Juniper savings are on track for a $600 million annual run rate by fiscal 2028. Meanwhile, a 1.07% dividend yield on a $74.1 billion company provides some income.

The thesis breaks if networking growth stalls after the integration, if GreenLake fails to become recurring revenue, or if AI server demand falls faster than networking can make up for it. Fiscal fourth-quarter results come next. Revenue is guided to $13.9 billion to $14.8 billion, and management has promised a fuller fiscal 2027 outlook.

Contact [email protected] for any questions or corrections.

Qualcomm (QCOM.O) will cut jobs globally in a "performance-focused reduction" following its annual employee reviews, CEO Cristiano Amon told staff in ​a memo on Monday reviewed by Reuters, with notifications set ‌to begin in November.

The cuts are part of an effort to build "a stronger performance culture" and address situations where the company "has consistently fallen short of expectations," Amon said.

The memo did ​not say how many jobs would be affected, and Reuters could ​not immediately determine the scale of the cuts.

Qualcomm did not ⁠immediately respond to a request for comment. It had about 52,000 employees globally ​as of September last year, most of them full-time. Its financial year typically ​ends in late September.

One of the world's biggest smartphone chipmakers, Qualcomm has been hit this year by a slump in consumer electronics sales as soaring memory prices weigh on ​demand in key markets.

Its shares have risen just 1.5% in 2026, compared with ​gains of more than 12% for the benchmark S&P 500 (.SPX) and nearly 60% for the ‌Philadelphia ⁠Semiconductor Index (.SOX).

In its latest earnings report in late July, Qualcomm forecast quarterly profit below estimates and said revenue from Apple products would decline faster than expected, while signaling that growth in data-center and other non-handset businesses would more ​than offset the lost ​revenue by fiscal ⁠2027.

The company expects the majority of its chip sales to come from businesses other than smartphones in fiscal 2027 ​as it expands into the fast-growing AI data-center market.

Amon said ​in the ⁠memo business priorities, organizational needs, skills and expertise would be considered in making the cuts.

"As we have expanded the business, so have the competencies and skills ⁠we require," ​he wrote. "We must have the right people ​in the right roles so they can perform at their best and the company can continue to ​succeed."

New research reveals how observability restores financial predictability as enterprises navigate rising telemetry costs and unpredictable AI bills

News Summary  

The global Splunk State of Observability 2026 report reveals agentic AI is creating unpredictable outcomes and costs, leaving observability practices to rein them in. Agent observability is increasingly important, with nearly 9 in 10 respondents saying monitoring AI is a priority, but over half still can't effectively measure agent quality. The AI cost crisis isn't just the size of the bill. It's about the surprise charges, with over half saying they cannot accurately control AI costs. Shared data across observability and security teams is essential to AI trust, with more than three quarters of respondents saying monitoring AI has increased their collaboration with security teams. , /PRNewswire/ -- Cisco (NASDAQ: CSCO) today released the Splunk State of Observability 2026: Restoring Predictability in the AI Era report, marking its sixth analysis of the observability industry. This year's research, which surveyed 2,050 ITOps and engineering respondents across 10 countries, exposes a significant disconnect: the urgency to deploy AI agents is rapidly outpacing the ability to monitor them.

With AI costs becoming more volatile, organizations are struggling to maintain both agent quality and fiscal predictability. This year's report highlights how observability is helping to restore stability and financial predictability of agentic AI systems, providing the governance to build trust with agents and ensure AI spend is tethered to business value.

In addition, with 83% of respondents saying they're concerned about the unintended consequences of AI agents, there's an urgent need for "agent observability," or the ability to monitor AI agents and put guardrails in place. This need is driving ITOps and engineering teams to collaborate more closely with security teams, as agents gain access to the entire tech stack.

"Most companies will soon have far more agents at work than people," said Jeetu Patel, President and Chief Product Officer at Cisco. "Managing agents at scale requires reimagining both security and observability. Have our agents been compromised? Are they doing their job well? In the world of agentic AI, these questions are inseparable, and they're moving at machine speed. This report shows that observability and security data are converging, and that teams need to collaborate more than ever. Common data platforms that help us detect and respond to issues in real-time are the key to deploying agents we can trust at scale."

"For today's enterprises, the excitement of AI is clashing with the reality of the bill," added Kamal Hathi, SVP and GM, Splunk at Cisco. "We believe observability is the essential bridge to restoring predictability and confidence to the agentic AI era. By providing the necessary guardrails and incorporating observability into an AI tokenomics framework, leaders can transform AI from an unpredictable expense into a measurable and strategic long-term business investment."

Agent observability emerges as a business priority and a gap
As organizations add AI agents into workflows like software development and customer experience, an incorrect agent action can evolve into a critical business failure. Unlike monitoring traditional applications, visibility into AI agent behavior requires a new class of behavioral metrics that are tied to business outcomes and agent decision-making. While many see the value of agent observability technology, respondents still struggle with how to execute or measure the tools effectively.

87% confirm monitoring AI is a priority for their organization; however 54% don't have clear business outcomes tied to it. 56% reveal they're unable to measure AI workload metrics like LLM response quality, a core metric to tracking the success of an AI agent. While 85% say it's important to have visibility into AI hallucinations, only 58% claim they're effective at doing so. AI is driving unpredictable costs
Observability is what makes AI spend visible, attributable, and controllable. When today's organizations run dozens of agents across multiple models, AI costs and usage can become convoluted. In addition, AI is exacerbating a data volume problem for many enterprises, making sifting through mountains of data almost impossible.

55% say they can't control AI costs, as AI use has become more complex with both consumption increasing and usage remaining hard to predict. 60% say unexpected billing spikes cause more operational strain than high baseline costs. 57% say their telemetry costs eclipsed the cost of the infrastructure being monitored, making financial predictability more critical than ever. 67% of respondents use a single observability platform, providing a unified view to pinpoint exactly where telemetry costs are coming from. The convergence of observability and security ensures AI trust  
As AI agents gain more access to operations in every layer of a business, monitoring them requires collaboration between ITOps, engineering, and security teams, breaking down walls that have historically kept them apart.   

81% say monitoring AI workloads has increased the collaboration between observability and security teams, and 73% can accurately trace performance issues to security root causes, up from 65% last year. More observability teams are troubleshooting (77%) with security teams, up from 62% in 2025. Data sharing between teams has climbed from 74% to 84%. The leader's edge: restoring predictability in the agentic era
In the research, an advanced group of organizations emerged as leaders who are achieving concrete business outcomes with their observability practices. These leaders follow three best practices:

Rely on AI agents to fix and prevent issues frequently. Leaders use agents to perform and execute key remediation tasks often.   Closely monitor the factors that keep AI in check. Leaders focus closely on monitoring model quality, cost, usage, security, and privacy. Connect signals to business impact. These advanced respondents agree that telemetry is a key factor in their planning process and helping to shape strategic decisions.   These leaders are seeing transformative results – they are far more likely to accurately attribute AI costs (91% of leaders vs. 69% of non-leaders), by pinpointing which agents, models, and workloads drive spend. They are also 2.4 times more likely than non-leaders to say the ROI of their observability platforms significantly exceeds expectations, and 54% say observability has yielded at least $5 million in annual business revenue (versus 28% of non-leaders). Leaders are realizing the benefits of observability and security teams working closely together – with 94% saying monitoring AI has increased collaboration with security teams (compared to 80% of non-leaders,) and 86% are more likely to accurately trace performance issues back to their security root causes (in contrast with 71% non-leaders).

Global highlights
This year's report showed the topics around prioritizing monitoring AI agents, unpredictable costs, and concern of agentic AI remained key themes of the 10 countries surveyed. Indian organizations stand out as advanced for their agent observability capabilities, with 51% calling their practice very effective at monitoring AI model quality, in contrast to 35% globally. The UK reflected both impressive adoption and concern of agentic AI, with 32% using AI agents all the time to diagnose root cause (vs. 20% globally), and 55% strongly worry about the unintended consequences of AI agents. Saudi Arabia stood out as more advanced and AI-forward, with 98% saying AI enabled them to focus more on innovation, well above the global average at 84%. Germany leads in data sensitivity, with 74% rating visibility into AI privacy as very important.

To learn more, explore the blogs and resources below:

Blog: State of Observability 2026 Reveals How Leaders Are Restoring Predictability to the Agentic Era Report: State of Observability 2026: Restoring Predictability to the Agentic Era Methodology
Oxford Economics researchers surveyed 2,050 ITOps and engineering professionals from practitioners to executives (including developers, SREs, systems engineers, infrastructure operations professionals, CTOs, and CIOs) from February through March 2026. Respondents resided in Australia, France, Germany, India, Japan, New Zealand, Singapore, Saudi Arabia, the United Kingdom, and the United States.

Respondents represented 16 industries: business services, construction and engineering, consumer packaged goods, education, financial services, government (federal/national, state, and local), healthcare, life sciences, manufacturing, technology, media, oil/gas, retail/wholesale, telecom, transportation/logistics, and utilities.

About Cisco
Cisco (NASDAQ: CSCO) is the worldwide technology leader that is revolutionizing the way organizations connect and protect in the AI era. For more than 40 years, Cisco has securely connected the world. With its industry leading AI-powered solutions and services, Cisco enables its customers, partners and communities to unlock innovation, enhance productivity and strengthen digital resilience. With purpose at its core, Cisco remains committed to creating a more connected and inclusive future for all. Discover more on The Newsroom and follow us on X at @Cisco.

Cisco and the Cisco logos are trademarks or registered trademarks of Cisco and/or its affiliates in the U.S. and other countries. A listing of Cisco's trademarks can be found at http://www.cisco.com/go/trademarks. Third-party trademarks mentioned are the property of their respective owners. The use of the word 'partner' does not imply a partnership relationship between Cisco and any other company.

SOURCE Cisco Systems, Inc.

Narrows 2026 Outlook for Adjusted EPS to $7.50 to $7.75 from $7.50 to $8.00

, /PRNewswire/ -- Genuine Parts Company (NYSE: GPC), a leading global service provider of automotive and industrial replacement parts and value-added solutions, announced today its results for the third quarter ended September 30, 2026.

"Our third quarter performance demonstrates the strength of our market leading businesses and our teams' continued focus on serving customers and executing our strategic priorities," said Will Stengel, Chairman and Chief Executive Officer. "We also achieved important milestones in our separation process and remain on track to launch GPC and Motion as two independent, leading companies in the first quarter of 2027."

Third Quarter 2026 Results

Sales were $6.5 billion, a 4.2% increase compared to $6.3 billion in the same period of the prior year. The improvement is attributable to a 2.9% increase in comparable sales, a 0.9% benefit from acquisitions and a net 0.4% favorable impact of foreign currency and other.

Net income was $224 million, or $1.62 per diluted earnings per share. This compares to net income of $226 million, or $1.62 per diluted share in the prior year period.

Adjusted net income was $286 million, or $2.07 per diluted earnings per share. Adjusted net income excludes $61 million of after-tax adjustments, or $0.45 per diluted share, which relates to costs associated with the company's global restructuring initiative and the planned separation of the company's Automotive and Industrial businesses. This compares to adjusted net income of $276 million, or $1.98 per diluted share in the prior year period. Refer to the reconciliation of GAAP net income to adjusted net income and GAAP diluted net income per common share to adjusted diluted net income per common share for more information.

Third Quarter 2026 Segment Highlights

North America Automotive Parts Group ("North America Automotive")

North America Automotive sales were $2.5 billion, up 2.2% from the same period in 2025. The improvement is primarily attributable to a 1.7% increase in comparable sales and a 1.1% benefit from acquisitions.  This was partially offset by a 0.6% unfavorable impact of foreign currency and other. Segment EBITDA of $194 million decreased 2.9%, with segment EBITDA margin of 7.6%, down 40 basis points from the same period of the prior year.

International Automotive Parts Group ("International Automotive")

International Automotive sales were $1.6 billion, up 4.5% from the same period in 2025. The improvement is primarily attributable to a 1.7% benefit from acquisitions, a 1.7% favorable impact of foreign currency and a 1.1% increase in comparable sales. Segment EBITDA of $141 million increased 4.7%, with segment EBITDA margin of 9.0%, flat versus the same period of the prior year.

Industrial Parts Group ("Industrial")

Industrial sales were $2.4 billion, up 6.1% from the same period in 2025. The improvement is primarily attributable to a 5.5% increase in comparable sales, a 0.5% favorable impact of foreign currency and a 0.1% benefit from acquisitions. Segment EBITDA of $317 million increased 11.2%, with segment EBITDA margin of 13.2%, up 60 basis points from the same period of the prior year.

Year to Date 2026 Results

Sales for the nine months ended September 30, 2026 were $19.3 billion, up 5.6% from the same period in 2025. Net income for the nine months was $641 million, or $4.64 per diluted share. This compares to net income of $675 million, or $4.85 per diluted share in the prior year period. Adjusted net income was $827 million in the first nine months of 2026, compared to adjusted net income of $810 million in the prior year period. Adjusted diluted earnings per share were $5.99 compared to $5.82 in the prior year period.

Balance Sheet, Cash Flow and Capital Allocation

The company generated cash flow from operations of $817 million for the first nine months of 2026. Net cash used in investing activities was $361 million, including $314 million for capital expenditures and $69 million for acquisitions. Net cash used in financing activities was $139 million, including net proceeds of debt (including net commercial paper) of $338 million, partially offset by $434 million for quarterly dividends paid to shareholders. Free cash flow was $502 million for the first nine months of 2026. Refer to the reconciliation of GAAP net cash provided by operating activities to free cash flow for more information.

As of September 30, 2026, total liquidity was $2.4 billion, consisting of $763 million in cash, and $1.6 billion of available capacity under the company's $2.0 billion Revolving Credit Agreement. This reflects $389 million outstanding under our commercial paper program.

2026 Outlook

The company is narrowing the range for adjusted diluted earnings per share outlook from its previous full-year 2026 outlook provided in its earnings releases on February 17, 2026, April 21, 2026 and July 21, 2026. The company considered its recent business trends and financial results, current growth plans, strategic initiatives, global economic outlook, geopolitical conflicts and the potential impact on results in updating its outlook, which is outlined in the table below. The updated GAAP earnings-per-share outlook includes expected costs associated with the company's restructuring initiatives, and includes costs related to the planned separation that have been incurred year-to-date. 

For the Year Ending December 31, 2026

Previous Outlook

Updated Outlook

Total sales growth

3% to 5.5%

3% to 5.5%

North America Automotive sales growth

2.5% to 4.5%

2.5% to 4.5%

International Automotive sales growth

5% to 8%

5% to 8%

Industrial sales growth

3% to 6%

3% to 6%

Diluted earnings per share

$5.90 to $6.40

$5.60 to $5.85

Adjusted diluted earnings per share

$7.50 to $8.00

$7.50 to $7.75

Effective tax rate

Approx. 24%

Approx. 24%

Net cash provided by operating activities

$1.0 billion to $1.2 billion

$1.0 billion to $1.2 billion

Free cash flow

$550 million to $700 million

$550 million to $700 million

Non-GAAP Information

This release contains certain financial information not derived in accordance with United States ("U.S.") generally accepted accounting principles ("GAAP"). These items include adjusted net income, adjusted diluted net income per common share, adjusted selling, administrative, and other expenses, and free cash flow. The company believes that the presentation of adjusted net income, adjusted diluted net income per common share, adjusted selling, administrative and other expenses and free cash flow, when considered together with the corresponding GAAP financial measures and the reconciliations to those measures, provides meaningful supplemental information to both management and investors that is indicative of the company's core operations. The company considers these metrics useful to investors because they provide greater transparency into management's view and assessment of the company's ongoing operating performance by removing items management believes are not representative of the company's continuing operations and may distort the company's longer-term operating trends. The company believes these measures are useful and enhance the comparability of the results from period to period and with the company's competitors, as well as show ongoing results from operations distinct from items that are infrequent or not associated with the company's core operations. The company does not, nor does it suggest investors should, consider such non-GAAP financial measures as superior to, in isolation from, or as a substitute for, GAAP financial information. The company has included a reconciliation of this additional information to the most comparable GAAP measure following the financial statements below. The company does not provide a forward-looking outlook for certain financial measures on a GAAP basis because the company is unable to predict certain items contained in the GAAP measures without unreasonable efforts. These items may include separation costs, acquisition-related costs, litigation charges or settlements, impairment charges, restructuring costs and certain other unusual adjustments.

Comparable Sales

Comparable sales is a key metric that refers to period-over-period comparisons of the company's net sales excluding the impact of acquisitions, foreign currency and other. The company's calculation of comparable sales is computed using total business days for the period and is inclusive of sales from company-owned stores and sales into independent stores. The company considers this metric useful to investors because it provides greater transparency into management's view and assessment of the company's core ongoing operations. This is a metric that is widely used by analysts, investors and competitors; however the company's calculation of the metric may not be comparable to similar measures disclosed by other companies, because not all companies and analysts calculate this metric in the same manner.

Conference Call

Genuine Parts Company will hold a conference call today at 8:30 a.m. Eastern Time to discuss the results of the quarter. A supplemental earnings deck will also be available for reference. Interested parties may listen to the call and view the supplemental earnings deck on the company's investor relations website. The call is also available by dialing 800-836-8184. A replay of the call will be available on the company's website or toll-free at 888-660-6345, conference ID 26206#, two hours after the completion of the call.

About Genuine Parts Company

Established in 1928, Genuine Parts Company is a leading global service provider of automotive and industrial replacement parts and value-added solutions. Our Automotive Parts Group operates across North America, Europe and Australasia, while our Industrial Parts Group serves customers across North America and Australasia. We keep the world moving with a vast network of over 10,800 locations spanning 17 countries supported by more than 65,000 teammates. Learn more at genpt.com.

Forward-Looking Statements

Some statements in this release, as well as in other materials the company files with the Securities and Exchange Commission ("SEC"), release to the public, or make available on the company's website, constitute forward-looking statements that are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements in the future tense and all statements accompanied by words such as "expect," "likely," "outlook," "forecast," "preliminary," "would," "could," "should," "position," "will," "project," "intend," "plan," "on track," "anticipate," "to come," "may," "possible," "assume," or similar expressions are intended to identify such forward-looking statements. These forward-looking statements include the company's view of business and economic trends for the remainder of the year and the company's expectations regarding its ability to capitalize on these business and economic trends; the company's full-year 2026 outlook and the company's ability to successfully execute on its strategic priorities, including the company's anticipated separation of Global Automotive and Global Industrial into two independent, publicly traded companies. Senior officers may also make verbal statements to analysts, investors, the media and others that are forward-looking.

The company cautions you that all forward-looking statements involve risks and uncertainties, and while the company believes its expectations for the future are reasonable in view of currently available information, you are cautioned not to place undue reliance on the company's forward-looking statements. Actual results or events may differ materially from those indicated as a result of various important factors. Such factors may include, among other things, changes in general economic conditions, including persistent inflation (including the direct and indirect impact of tariffs and retaliatory tariffs) or deflation, geopolitical uncertainty and unrest (including from the conflict involving the United States and Iran) and declining consumer confidence; the company's ability to successfully implement the separation of Global Automotive and Global Industrial and achieve the anticipated benefits of such transaction; volatility in oil prices; significant costs, such as elevated fuel and freight expenses; the company's ability to maintain compliance with its debt covenants; its ability to successfully integrate acquired businesses into its operations and to realize the anticipated synergies and benefits; its ability to successfully implement its business initiatives in its three business segments; slowing demand for its products; the ability to maintain favorable supplier arrangements and relationships; changes in national and international legislation or government regulations or policies, including changes to global trade regulations, environmental and social policy, infrastructure programs and privacy legislation and related uncertainties, and their impact on the company, its suppliers and customers; changes in tax policies; volatile exchange rates; the company's ability to successfully attract and retain employees in the current labor market; uncertain credit markets and other macroeconomic conditions; competitive product, service and pricing pressures; failure or weakness in the company's disclosure controls and procedures and internal controls over financial reporting; the uncertainties and costs of litigation; public health emergencies, including the effects on the financial health of the company's business partners and customers, on supply chains and its suppliers, on vehicle miles driven as well as other metrics that affect the company's business, and on access to capital and liquidity provided by the financial and capital markets; disruptions caused by a failure or breach of the company's information systems; the success of its global restructuring efforts and the annualized cost savings arising therefrom, as well as other risks and uncertainties discussed in the company's Annual Report on Form 10-K and from time to time in its subsequent filings with the SEC.

Forward-looking statements speak only as of the date they are made, and the company undertakes no duty to update any forward-looking statements except as required by law. You are advised, however, to review any further disclosures the company makes on related subjects in subsequent Forms 10-K, 10-Q, 8-K and other reports filed with the SEC.

GENUINE PARTS COMPANY AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(UNAUDITED)

Three Months Ended
September 30,

Nine Months Ended
September 30,

(in thousands, except per share data)

2026

2025

2026

2025

Net sales

$    6,521,308

$    6,260,232

$  19,323,199

$  18,290,726

Cost of goods sold

4,037,033

3,918,830

12,029,253

11,451,252

Gross profit

2,484,275

2,341,402

7,293,946

6,839,474

Operating expenses:

Selling, administrative and other expenses

1,944,518

1,805,928

5,718,856

5,286,802

Depreciation and amortization

137,490

127,475

403,234

365,928

Provision for doubtful accounts

9,238

6,871

27,339

20,351

Restructuring and other costs

64,545

66,835

193,426

167,317

Total operating expenses

2,155,791

2,007,109

6,342,855

5,840,398

Non-operating expense (income):

Interest expense, net

45,970

40,342

135,723

117,769

Other

3,866

2,258

(2,503)

(580)

Total non-operating expense

49,836

42,600

133,220

117,189

Income before income taxes

278,648

291,693

817,871

881,887

Income taxes

54,201

65,522

177,331

206,444

Net income

$      224,447

$      226,171

$      640,540

$     675,443

Dividends declared per common share

$        1.0625

$            1.03

$        3.1875

$           3.09

Basic earnings per share

$            1.63

$            1.63

$            4.65

$           4.86

Diluted earnings per share

$            1.62

$            1.62

$            4.64

$           4.85

Weighted average common shares
      outstanding

137,862

139,099

137,753

138,959

Dilutive effect of stock options and non-
     vested restricted stock awards

469

307

351

298

Weighted average common shares
     outstanding – assuming dilution

138,331

139,406

138,104

139,257

GENUINE PARTS COMPANY AND SUBSIDIARIES
SEGMENT INFORMATION
(UNAUDITED)

The following table presents net sales by segment and a reconciliation from segment EBITDA to net
income:

Three Months Ended
September 30,

Nine Months Ended
September 30,

(in thousands)

2026

2025

2026

2025

Net sales:

North America Automotive

$    2,540,319

$    2,484,591

$    7,440,587

$    7,193,749

International Automotive

1,572,392

1,505,197

4,746,020

4,373,208

Industrial

2,408,597

2,270,444

7,136,592

6,723,769

Segment EBITDA:

North America Automotive

193,860

199,626

558,393

543,121

International Automotive

141,394

135,078

436,230

415,082

Industrial

316,927

285,015

947,494

851,865

Corporate EBITDA (1)

(103,521)

(93,374)

(330,859)

(263,131)

Interest expense, net

(45,970)

(40,342)

(135,723)

(117,769)

Depreciation and amortization

(137,490)

(127,475)

(403,234)

(365,928)

Other unallocated costs

(86,552)

(66,835)

(254,430)

(181,352)

Income before income taxes

278,648

291,693

817,871

881,887

Income taxes

(54,201)

(65,522)

(177,331)

(206,444)

Net income

$       224,447

$       226,171

$      640,540

$      675,443

(1)

Corporate EBITDA consists of costs related to the company's Corporate headquarters' broad support to the company's business units and other costs that are managed centrally and not allocated to business segments. These include personnel and other costs for company-wide functions such as executive leadership, human resources, technology, cybersecurity, legal, corporate finance, internal audit, and risk management, as well as product liability costs and A/R Sales Agreement fees.

The following table presents a summary of the other unallocated costs:

Three Months Ended
September 30,

Nine Months Ended
September 30,

(in thousands)

2026

2025

2026

2025

Other unallocated costs:

Restructuring and other costs (2)

$       (64,545)

$       (66,835)

$    (193,426)

$     (167,317)

Separation costs (3)

(21,204)

—

(54,912)

—

Acquisition and integration related
      costs and other (4)

(803)

—

(6,092)

(14,035)

Total other unallocated costs

$       (86,552)

$       (66,835)

$    (254,430)

$     (181,352)

(2)

Amount reflects costs related to our global restructuring initiative which includes employee severance and other termination benefits, and the rationalization and optimization of certain distribution centers, stores and other facilities.

(3)

Amount primarily reflects legal and professional services and executive incentive plan costs related to the planned separation of the company's Global Automotive and Global Industrial businesses that was announced on February 17, 2026 and is targeted for completion in the first quarter of 2027.

(4)

Amount primarily reflects lease and other exit costs related to the integration of acquired independent automotive stores.

GENUINE PARTS COMPANY AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
(UNAUDITED)

(in thousands, except share and per share data)

September 30, 2026

December 31, 2025

Assets

Current assets:

Cash and cash equivalents

$               763,151

$              477,179

Trade accounts receivable, net

2,619,491

2,370,939

Merchandise inventories, net

6,435,802

6,071,996

Prepaid expenses and other current assets

1,632,361

1,644,620

Total current assets

11,450,805

10,564,734

Goodwill

3,206,231

3,188,815

Other intangible assets, net

1,743,938

1,855,714

Property, plant and equipment, net

2,161,387

2,172,140

Operating lease assets

2,062,454

2,084,487

Other assets

872,340

929,650

Total assets

$          21,497,155

$         20,795,540

Liabilities and equity

Current liabilities:

Trade accounts payable

$            6,394,876

$           6,051,882

Short-term borrowings

388,088

943,540

Current portion of long-term debt

250,000

353,788

Dividends payable

148,074

143,291

Other current liabilities

2,180,515

2,295,204

Total current liabilities

9,361,553

9,787,705

Long-term debt

4,472,149

3,498,423

Operating lease liabilities

1,713,902

1,739,478

Pension and other post–retirement benefit liabilities

218,787

219,270

Deferred tax liabilities

368,353

385,948

Other long-term liabilities

703,492

724,353

Equity:

Preferred stock, par value – $1 per share; authorized –
     10,000,000 shares; none issued

—

—

Common stock, par value – $1 per share; authorized –
     450,000,000 shares; issued and outstanding – 2026 –
     137,864,682 shares; 2025 – 137,617,832 shares

137,865

137,618

Additional paid-in capital

259,505

228,370

Accumulated other comprehensive loss

(518,474)

(511,766)

Retained earnings

4,770,080

4,568,769

Total parent equity

4,648,976

4,422,991

Noncontrolling interests in subsidiaries

9,943

17,372

Total equity

4,658,919

4,440,363

Total liabilities and equity

$          21,497,155

$          20,795,540

GENUINE PARTS COMPANY AND SUBSIDIARIES
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)

Nine Months Ended
September 30,

(in thousands)

2026

2025

Operating activities:

Net income

$   640,540

$   675,443

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

Depreciation and amortization

403,234

365,928

Share-based compensation

45,095

37,183

Other operating activities, including changes in operating assets and
      liabilities

(272,222)

(567,865)

Net cash provided by operating activities

816,647

510,689

Investing activities:

Purchases of property, plant and equipment

(314,476)

(350,443)

Proceeds from sale of property, plant and equipment

28,070

21,085

Acquisitions of businesses

(69,450)

(181,987)

Proceeds from divestitures of businesses

6,885

59

Other investing activities

(12,105)

23,335

Net cash used in investing activities

(361,076)

(487,951)

Financing activities:

Proceeds from debt

1,291,217

44,600

Payments on debt

(997,776)

(567,368)

Net proceeds of commercial paper

44,968

886,175

Shares issued from employee incentive plans

(13,713)

(16,316)

Dividends paid

(434,446)

(420,571)

Other financing activities

(29,283)

(20,237)

Net cash used in financing activities

(139,033)

(93,717)

Effect of exchange rate changes on cash and cash equivalents

(30,566)

22,347

Net increase (decrease) in cash and cash equivalents

285,972

(48,632)

Cash and cash equivalents at beginning of period

477,179

479,991

Cash and cash equivalents at end of period

$   763,151

$   431,359

GENUINE PARTS COMPANY AND SUBSIDIARIES
RECONCILIATION OF GAAP NET INCOME TO ADJUSTED NET INCOME AND GAAP
DILUTED NET INCOME PER COMMON SHARE TO ADJUSTED DILUTED NET INCOME PER
COMMON SHARE
(UNAUDITED)

The table below represents a reconciliation from GAAP net income to adjusted net income:

Three Months Ended
September 30,

Nine Months Ended
September 30,

(in thousands)

2026

2025

2026

2025

GAAP net income

$      224,447

$      226,171

$      640,540

$      675,443

Adjustments:

Restructuring and other costs (1)

64,545

66,835

193,426

167,317

Separation costs (2)

21,204

—

54,912

—

Acquisition and integration related
     costs and other (3)

803

—

6,092

14,035

Total adjustments

86,552

66,835

254,430

181,352

Tax impact of adjustments (4)

(25,053)

(17,411)

(68,239)

(46,340)

Adjusted net income

$      285,946

$      275,595

$      826,731

$      810,455

The table below represents amounts per common share assuming dilution:

Three Months Ended
September 30,

Nine Months Ended
September 30,

(in thousands, except per share data)

2026

2025

2026

2025

GAAP diluted net income per common
     share

$           1.62

$           1.62

$           4.64

$           4.85

Adjustments:

Restructuring and other costs (1)

0.47

0.48

1.40

1.20

Separation costs (2)

0.15

—

0.40

—

Acquisition and integration related
      costs and other (3)

0.01

—

0.04

0.10

Total adjustments

0.63

0.48

1.84

1.30

Tax impact of adjustments (4)

(0.18)

(0.12)

(0.49)

(0.33)

Adjusted diluted net income per
     common share

$           2.07

$           1.98

$           5.99

$           5.82

Weighted average common shares
     outstanding – assuming dilution

138,331

139,406

138,104

139,257

(1)

Amount reflects costs related to our global restructuring initiative which includes employee severance and other termination benefits, and the rationalization and optimization of certain distribution centers, stores and other facilities.

(2)

Amount primarily reflects legal and professional services and executive incentive plan costs related to the planned separation of our Global Automotive and Global Industrial businesses that was announced on February 17, 2026 and is targeted for completion in the first quarter of 2027.

(3)

Amount primarily reflects lease and other exit costs related to the integration of acquired independent automotive stores.

(4)

We determine the tax effect of non-GAAP adjustments by considering the tax laws and statutory income tax rates applicable in the tax jurisdictions of the underlying non-GAAP adjustments, including any related valuation allowances. For the three and nine months ended September 30, 2026, we applied the statutory income tax rates to the taxable portion of all of our adjustments, which resulted in a tax impact of $25 million and $68 million, respectively.

The table below clarifies where the items that have been adjusted above to improve comparability of the
financial information from period to period are presented in the condensed consolidated statements of
income.

Three Months Ended
September 30,

Nine Months Ended
September 30,

(in thousands)

2026

2025

2026

2025

Line item:

Cost of goods sold

$             803

$               —

$           6,092

$                —

Selling, administrative and other
     expenses

21,204

—

54,912

14,035

Restructuring and other costs

64,545

66,835

193,426

167,317

Total adjustments

$        86,552

$        66,835

$       254,430

$       181,352

GENUINE PARTS COMPANY AND SUBSIDIARIES
RECONCILIATION OF GAAP SELLING, ADMINISTRATIVE AND OTHER EXPENSES TO
ADJUSTED SELLING, ADMINISTRATIVE AND OTHER EXPENSES
(UNAUDITED)

The table below represents a reconciliation from GAAP selling, administrative and other expenses to
adjusted selling, administrative and other expenses:

Three Months Ended
September 30,

Nine Months Ended
September 30,

(in thousands)

2026

2025

2026

2025

GAAP selling, administrative and
     other expenses

$   1,944,518

$   1,805,928

$   5,718,856

$   5,286,802

Adjustments:

Separation costs

(21,204)

—

(54,912)

—

Acquisition and integration related
     costs and other

—

—

—

(14,035)

Total adjustments (1)

(21,204)

—

(54,912)

(14,035)

Adjusted selling, administrative and
     other expenses

$   1,923,314

$   1,805,928

$   5,663,944

$   5,272,767

Net sales

$   6,521,308

$   6,260,232

$ 19,323,199

$ 18,290,726

GAAP SG&A expenses as a
      percentage of net sales

29.8 %

28.8 %

29.6 %

28.9 %

Adjusted SG&A expenses as a
     percentage of net sales

29.5 %

28.8 %

29.3 %

28.8 %

(1)

Refer to the explanation of adjustments included within the reconciliation of GAAP net income to adjusted net income table for further information.

GENUINE PARTS COMPANY AND SUBSIDIARIES
CHANGE IN NET SALES SUMMARY
(UNAUDITED)

Three Months Ended September 30, 2026

Comparable
Sales

Acquisitions

Foreign
Currency

Other

GAAP Total
Net Sales

North America Automotive

1.7 %

1.1 %

(0.3) %

(0.3) %

2.2 %

International Automotive

1.1 %

1.7 %

1.7 %

— %

4.5 %

Industrial

5.5 %

0.1 %

0.5 %

— %

6.1 %

Total Net Sales

2.9 %

0.9 %

0.5 %

(0.1) %

4.2 %

Nine Months Ended September 30, 2026

Comparable
Sales

Acquisitions

Foreign
Currency

Other

GAAP Total
Net Sales

North America Automotive

2.2 %

1.3 %

0.1 %

(0.2) %

3.4 %

International Automotive

0.9 %

2.1 %

5.5 %

— %

8.5 %

Industrial

5.1 %

0.2 %

0.8 %

— %

6.1 %

Total Net Sales

2.9 %

1.1 %

1.7 %

(0.1) %

5.6 %

GENUINE PARTS COMPANY AND SUBSIDIARIES
RECONCILIATION OF GAAP NET CASH PROVIDED BY OPERATING ACTIVITIES TO FREE CASH FLOW
(UNAUDITED)

Nine Months Ended September 30,

(in thousands)

2026

2025

Net cash provided by operating activities

$                   816,647

$                   510,689

Purchases of property, plant and equipment

(314,476)

(350,443)

Free cash flow

$                   502,171

$                   160,246

For the Year Ending December 31, 2026

Net cash provided by operating activities

$1.0 billion to $1.2 billion

Purchases of property, plant and equipment

$450 million to $500 million

Free cash flow

$550 million to $700 million

SOURCE Genuine Parts Company

After a relatively tame September, Palantir (NASDAQ: PLTR) stock insider traders have been accelerating their selling activity in October, with a total reported volume for the month standing above $8 million by press time.

Receive Signals on SEC-verified Insider Stock Trades

Stocks

This signal is triggered upon the reporting of the trade to the Securities and Exchange Commission (SEC).

Director Alexander Moore was the latest among them to disclose a major market maneuver. Specifically, on October 19, he disclosed dumping 16,000 PLTR shares at an average price of $197.99, raising a total of $3.16 million.

This was Moore’s first Palantir insider trade since he offloaded the same number of shares for a slightly smaller $2.76 million on September 15 – exactly one month earlier – and the second-biggest such sale of Palantir stock in October.

Chief Revenue Officer (CRO) and Chief Legal Officer (CLO) Ryan Taylor, meanwhile, is responsible for the biggest market move among the firm’s senior personnel since the month started. Specifically, he dumped 18,000 PLTR on October 8 for $3.6 million.

Receive Signals on SEC-verified Insider Stock Trades

Stocks

This signal is triggered upon the reporting of the trade to the Securities and Exchange Commission (SEC).

Is October flare-up in Palantir insider sales a sell signal for PLTR stock?
Notably, the fact that Moore’s trades have been happening every month in a range smaller than a single week – October 15, September 15, August 17, July 15, etc. – makes what would otherwise be interesting timing irrelevant.

Indeed, after starting October at $190.04, Palantir shares briefly stagnated and even retraced slightly before taking off to recent highs above $209. Director Alexander Moore’s trade, for its part, occurred just before a severe 7.22% one-session drop that took place on Friday, October 16.

Ryan Taylor’s trade, instead, might be more interesting since it took place shortly before PLTR equity found its latest monthly high and was executed close to the intraday high. Indeed, the CRO and CLO sold at $201.15, and Palantir met the October 8 evening bell at $198.78.

Palantir stock price one-month chart. Source: Google
Still, even that insider trade likely does not represent a signal about the company’s future due to the numerous rules regulating the stock market activities of senior personnel at every public firm.

Featured image via Shutterstock

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Strong SDP 8.0 design-win momentum and first Alloy Kore award drive 26% growth since fiscal year-end 2026

OTTAWA, ON / ACCESS Newswire / October 20, 2026 / BlackBerry Limited (NYSE:BB)(TSX:BB) today announced that its QNX division has exceeded $1.2 billion in royalty backlog, establishing a new record for the business and marking a significant milestone in QNX's growth.

The achievement represents an increase of more than $250 million, or more than 26%, from the approximately $950 million reported at the end of fiscal year 2026. The increase reflects strong customer adoption of QNX's trusted software, particularly QNX® Software Development Platform 8.0, together with the first design win of Alloy Kore™, QNX's foundational automotive OS.

Increasing adoption of SDP 8.0 is expanding QNX's opportunity within next-generation, high-performance compute architectures. As automakers consolidate vehicle functions onto increasingly powerful centralized and domain-based compute platforms, QNX can support multiple software domains and multiple instances within a single vehicle, creating opportunities for greater QNX software content and associated royalty value per vehicle. QNX is actively working with several major global automotive OEMs and Tier 1 suppliers as they evaluate and develop on the platform.
Alloy Kore further expands this opportunity by moving QNX beyond individual software components towards a broader, foundational automotive OS. Its first design win, valued at more than $100 million of estimated future royalties, is the largest design win in QNX's history. The award provides significant commercial validation for Alloy Kore and demonstrates its potential to materially broaden QNX's role within each vehicle and increase the royalty opportunity per program.

Beyond automotive, General Embedded Markets and Physical AI based systems also contributed to the 26% growth in QNX royalty backlog through a number of important design wins across robotics, industrial automation and medical devices. These wins underscore the growing demand for trusted foundational software in systems that must interact safely, securely and reliably with the physical world. QNX is encouraged by the momentum in these markets and the continued expansion of its opportunity pipeline, supported by strategic relationships with leading silicon providers that further strengthen its position in the development of next-generation intelligent systems.

Next-Generation Platforms Driving Growth

"Exceeding $1.2 billion in royalty backlog is an important milestone for BlackBerry and compelling evidence of the momentum we are building at QNX," said John Giamatteo, Chief Executive Officer, BlackBerry. "In just two quarters, our backlog has grown by more than $250 million from the approximately $950 million we previously reported, reflecting strong demand for our foundational software and the impact of our next generation of products. The growing adoption of SDP 8.0 and the commercial validation of Alloy Kore demonstrate that our strategy is working, expanding our opportunity and increasing the value of QNX software content within each vehicle."

QNX's business model begins well before customer production. Once QNX secures a design win and the associated future royalties can be reasonably estimated, those anticipated royalties are included in QNX royalty backlog. Royalty revenue is subsequently recognized as customer programs enter production and volumes ramp.

"The increase in our royalty backlog reflects an important evolution in both the breadth and value of QNX's customer relationships," said John Wall, President, QNX. "Customers are increasingly adopting SDP 8.0 for the high-performance compute architectures at the centre of Software-Defined Vehicles, while our first Alloy Kore design win demonstrates the potential to extend QNX's position further up the software stack. We are also applying our proven foundational software capabilities to General Embedded Markets and emerging Physical AI applications, where safety, security and reliability are critical. We believe the momentum across these growth opportunities creates a strong foundation for QNX's continued expansion."

About QNX Royalty Backlog

The Company defines QNX royalty backlog as estimated future revenue from variable forecasted royalties. The estimation is based on QNX royalty rates and projections of anticipated volumes based on historical experience and current customer projections that management believes are reasonable over the lifetime of a design.

QNX royalty backlog may not be indicative of actual future revenue. The revenue ultimately recognized is subject to several factors, including actual production volumes and potential terminations or modifications of customer contracts.

###

About BlackBerry

BlackBerry (NYSE: BB)(TSX: BB) provides enterprises and governments the intelligent software and services that power the world around us. Based in Waterloo, Ontario, the company's high-performance foundational software enables major automakers and industrial giants alike to unlock transformative applications, drive new revenue streams and launch innovative business models, all without sacrificing safety, security, and reliability. With a deep heritage in Secure Communications, BlackBerry delivers operational resiliency with a comprehensive, highly secure, and extensively certified portfolio for mobile fortification, mission-critical communications, and critical events management.
Safe. Certified. Secure.

For more information visit BlackBerry.com and follow BlackBerry on LinkedIn

About QNX

QNX, a division of BlackBerry Limited (NYSE: BB; TSX: BB), provides the trusted foundation that software-defined and physical AI systems depend on to operate safely and predictably in the real world. For nearly half a century, QNX has powered safety-critical applications where failure is not an option. The business leads the way in delivering safe and secure operating systems, hypervisors, middleware, solutions, and development tools, along with the support and services delivered by trusted embedded software experts. Today, QNX technology underpins hundreds of millions of vehicles on the road and a wide range of mission-critical systems across industrial controls, robotics, medical devices, commercial transportation, rail, and aerospace and defense. QNX is headquartered in Ottawa, Canada. Learn more at qnx.software.

Trademarks, including but not limited to BLACKBERRY and EMBLEM Design, are the trademarks or registered trademarks of BlackBerry Limited, and the exclusive rights to such trademarks are expressly reserved. All other trademarks are the property of their respective owners. BlackBerry is not responsible for any third-party products or services.

Investor Contact:
BlackBerry Investor Relations
+1 (519) 888-7465
[email protected]

Media Contact:
BlackBerry Media Relations
+1 (519) 597-7273
[email protected]

SOURCE: QNX

Strong operational performance drives double-digit sales and earnings growth in Q3;
Raises 2026 outlook for adjusted sales,* adjusted EPS,* and free cash flow*

, /PRNewswire/ -- RTX (NYSE: RTX) reports third quarter 2026 results.

Third quarter 2026

Sales of $25.0 billion, up 11 percent versus prior year, and up 12 percent organically* GAAP EPS of $1.89, including $0.26 of acquisition accounting adjustments and $0.11 of restructuring and other net significant and/or non-recurring items Adjusted EPS* of $2.26, up $0.56, or 33 percent, versus prior year, including $0.25 from IEEPA cost recovery Operating cash flow of $2.9 billion, including approximately $0.3 billion from IEEPA recovery; free cash flow* of $2.1 billion Company backlog of $340 billion, including $176 billion of commercial and $164 billion of defense Awarded Tomahawk and AMRAAM multi-year undefinitized production contracts in the third quarter Updates outlook for full year 2026

Adjusted sales* of $97.0 - $97.5 billion, up from $95.0 - $96.0 billion Organic sales growth* of 10 to 11 percent, up from 8 to 9 percent Adjusted EPS* of $7.65 - $7.75, up from $7.10 - $7.25 Free cash flow* of $9.0 - $9.2 billion, up from $8.50 - $8.75 billion "Our strong execution and operational focus in the third quarter enabled RTX to deliver double-digit organic sales growth* across commercial aerospace and defense. Demand for our products remains robust with over $81 billion of new commercial and defense awards, resulting in a record backlog of $340 billion," said RTX Chairman and CEO Chris Calio.

"Given our performance year to date, we are again raising our full year outlook for adjusted sales,* adjusted EPS,* and free cash flow.* We remain focused on increasing output, optimizing our cost structure, and investing in new technologies to support our customers and drive continued growth."

Third quarter 2026
RTX third quarter reported and adjusted sales* were $25.0 billion, up 11 percent versus the prior year and 12 percent organically.* GAAP EPS of $1.89 included $0.26 of acquisition accounting adjustments and $0.11 of restructuring and other net significant and/or non-recurring items. Adjusted EPS* of $2.26 was up 33 percent versus the prior year, including $0.25 of IEEPA recovery.

The company reported net income attributable to common shareowners in the third quarter of $2.6 billion, which included $0.3 billion of acquisition accounting adjustments and $0.2 billion of restructuring and other net significant and/or non-recurring items. Adjusted net income* of $3.1 billion was up 34 percent versus the prior year driven by $1.1 billion of adjusted segment operating profit growth* across all three segments, including $0.4 billion of IEEPA recovery. This growth was partially offset by higher taxes and lower pension income. Operating cash flow in the third quarter was $2.9 billion, including $0.3 billion of IEEPA recovery. Capital expenditures were $0.7 billion, resulting in free cash flow* of $2.1 billion.

Summary Financial Results

3rd Quarter

($ in millions, except EPS)

2026

2025

% Change

Reported

Sales

$   24,965

$   22,478

11 %

Net Income

$     2,583

$     1,918

35 %

EPS

$       1.89

$       1.41

34 %

Adjusted*

Sales

$   24,965

$   22,478

11 %

Net Income

$     3,091

$     2,311

34 %

EPS

$       2.26

$       1.70

33 %

Operating Cash Flow

$     2,868

$     4,639

(38) %

Free Cash Flow*

$     2,119

$     4,025

(47) %

Segment Results 

Collins Aerospace

3rd Quarter

($ in millions)

2026

2025

% Change

Reported

Sales

$  8,382

$  7,621

10 %

Operating Profit

$  1,789

$  1,260

42 %

ROS

21.3 %

16.5 %

480

bps

Adjusted*

Sales

$  8,382

$  7,621

10 %

Operating Profit

$  1,788

$  1,194

50 %

ROS

21.3 %

15.7 %

560

bps

Collins Aerospace third quarter 2026 reported and adjusted sales* of $8,382 million were up 10 percent versus the prior year. Excluding the impact of divestitures, sales increased 12 percent organically* driven by a 23 percent increase in commercial OE, a 9 percent increase in commercial aftermarket, and a 7 percent increase in defense. The increase in commercial OE sales was driven by higher volume on narrowbody and widebody platforms, while the increase in commercial aftermarket sales was driven by growth in modifications and upgrades, provisioning, and parts and repair. The increase in defense sales was driven by higher volume across multiple programs.

Collins Aerospace reported operating profit of $1,789 million was up 42 percent versus the prior year. Reported operating profit in Q3 2025 included a gain on the sale of the actuation and flight control business. Adjusted operating profit* of $1,788 million was up 50 percent versus the prior year. The increase was driven by drop through on higher commercial volume, commercial mix, and approximately $250 million of IEEPA recovery.

Pratt & Whitney

3rd Quarter

($ in millions)

2026

2025

% Change

Reported

Sales

$  9,231

$  8,423

10 %

Operating Profit

$     608

$     751

(19) %

ROS

6.6 %

8.9 %

(230)

bps

Adjusted*

Sales

$  9,231

$  8,423

10 %

Operating Profit

$     968

$     751

29 %

ROS

10.5 %

8.9 %

160

bps

Pratt & Whitney third quarter reported and adjusted sales* of $9,231 million were up 10 percent versus the prior year. The sales growth was driven by a 21 percent increase in commercial aftermarket and a 2 percent increase in military, partially offset by a 5 percent decrease in commercial OE. The increase in commercial aftermarket was driven by higher volume, primarily GTF, while the decrease in commercial OE was driven by large commercial engine mix. The increase in military was driven by higher volume across multiple programs, partially offset by the prior year benefit from contract award timing.

Pratt & Whitney reported operating profit of $608 million was down 19 percent versus the prior year. Reported operating profit included a charge of $363 million related to a customer bankruptcy. Adjusted operating profit* of $968 million was up 29 percent versus the prior year. The increase was driven by drop through on higher commercial aftermarket volume and approximately $160 million of IEEPA recovery. This growth was partially offset by large commercial OE mix, commercial aftermarket mix, and higher SG&A expense.

Raytheon

3rd Quarter

($ in millions)

2026

2025

% Change

Reported

Sales

$  8,031

$  7,045

14 %

Operating Profit

$  1,133

$     859

32 %

ROS

14.1 %

12.2 %

190

bps

Adjusted*

Sales

$  8,031

$  7,045

14 %

Operating Profit

$  1,134

$     859

32 %

ROS

14.1 %

12.2 %

190

bps

Raytheon third quarter reported and adjusted sales* of $8,031 million were up 14 percent versus the prior year. This increase was driven by higher volume on naval programs and land and air defense systems, including Patriot, Standard Missile, and Tomahawk. 

Raytheon reported operating profit of $1,133 million was up 32 percent versus the prior year. Adjusted operating profit* of $1,134 million was up 32 percent versus the prior year. The increase was driven by improved net productivity, higher volume, and favorable mix, including Patriot programs. Productivity in the quarter included approximately $85 million of benefits associated with an international contract modification and a favorable adjustment related to an offset obligation.

*Adjusted net sales (also referred to as adjusted sales), organic sales, adjusted operating profit (loss) and margin percentage (ROS), segment operating profit (loss) and margin percentage (ROS), adjusted segment sales, adjusted segment operating profit (loss) and margin percentage (ROS), adjusted net income, adjusted earnings per share ("EPS"), adjusted effective tax rate, and free cash flow are non-GAAP financial measures. When we provide our expectation for adjusted net sales (also referred to as adjusted sales), adjusted EPS and free cash flow on a forward-looking basis, a reconciliation of these non-GAAP financial measures to the corresponding GAAP measures (expected diluted EPS and expected cash flow from operations) is not available without unreasonable effort due to potentially high variability, complexity, and low visibility as to the items that would be excluded from the GAAP measure in the relevant future period, such as unusual gains and losses, the ultimate outcome of pending litigation, fluctuations in foreign currency exchange rates, the impact and timing of potential acquisitions and divestitures, and other structural changes or their probable significance. The variability of the excluded items may have a significant, and potentially unpredictable, impact on our future GAAP results. See "Use and Definitions of Non-GAAP Financial Measures" below for information regarding non-GAAP financial measures.

IEEPA = International Emergency Economic Powers Act.

About RTX
With more than 180,000 global employees, we push the limits of technology and science to redefine how we connect and protect our world. With industry-leading capabilities, we advance aviation, engineer integrated defense systems for operational success, and develop next-generation technology solutions and manufacturing to help global customers address their most critical challenges. The company, with 2025 sales of more than $88 billion, is headquartered in Arlington, Virginia.

Conference Call on the Third Quarter 2026 Financial Results
RTX's financial results conference call will be held on Tuesday, October 20, 2026 at 8:30 a.m. ET. The conference call will be webcast live on the company's website at www.rtx.com and will be available for replay following the call. The corresponding presentation slides will be available for downloading prior to the call.

Use and Definitions of Non-GAAP Financial Measures
RTX Corporation ("RTX" or "the Company") reports its financial results in accordance with accounting principles generally accepted in the United States ("GAAP"). We supplement the reporting of our financial information determined under GAAP with certain non-GAAP financial information. The non-GAAP information presented provides investors with additional useful information but should not be considered in isolation or as substitutes for the related GAAP measures. We believe that these non-GAAP measures provide investors with additional insight into the Company's ongoing business performance. Other companies may define non-GAAP measures differently, which limits the usefulness of these measures for comparisons with such other companies. We encourage investors to review our financial statements and publicly-filed reports in their entirety and not to rely on any single financial measure. A reconciliation of the non-GAAP measures to the corresponding amounts prepared in accordance with GAAP appears in the tables in this Appendix. Certain non-GAAP financial adjustments are also described in this Appendix. Below are our non-GAAP financial measures:

Non-GAAP measure

Definition

Adjusted net sales / Adjusted sales

Represents consolidated net sales (a GAAP measure), excluding net significant and/or non-recurring items1 (hereinafter referred to as "net significant and/or non-recurring items").

Organic sales

Organic sales represents the change in consolidated net sales (a GAAP measure), excluding the impact of foreign currency translation, acquisitions and divestitures completed in the preceding twelve months and net significant and/or non-recurring items.

Adjusted operating profit (loss) and margin percentage (ROS)

Adjusted operating profit (loss) represents operating profit (loss) (a GAAP measure), excluding restructuring costs, acquisition accounting adjustments2, and net significant and/or non-recurring items. Adjusted operating profit margin percentage represents adjusted operating profit (loss) as a percentage of adjusted net sales.

Segment operating profit (loss) and margin percentage (ROS)

Segment operating profit (loss) represents operating profit (loss) (a GAAP measure) excluding acquisition accounting adjustments2, the FAS/CAS operating adjustment3, Corporate expenses and other unallocated items, and Eliminations and other. Segment operating profit margin percentage represents segment operating profit (loss) as a percentage of segment sales (net sales, excluding Eliminations and other).

Adjusted segment sales

Represents consolidated net sales (a GAAP measure) excluding eliminations and other and net significant and/or non-recurring items.

Adjusted segment operating profit (loss) and margin percentage (ROS)

Adjusted segment operating profit (loss) represents segment operating profit (loss) excluding restructuring costs, and net significant and/or non-recurring items. Adjusted segment operating profit margin percentage represents adjusted segment operating profit (loss) as a percentage of adjusted segment sales (adjusted net sales excluding Eliminations and other).

Adjusted net income

Adjusted net income represents net income (a GAAP measure), excluding restructuring costs, acquisition accounting adjustments2, and net significant and/or non-recurring items.

Adjusted earnings per share (EPS)

Adjusted EPS represents diluted earnings per share (a GAAP measure), excluding restructuring costs, acquisition accounting adjustments2, and net significant and/or non-recurring items.

Adjusted effective tax rate

Adjusted effective tax rate represents the effective tax rate (a GAAP measure), excluding the tax impact of restructuring costs, acquisition accounting adjustments2, and net significant and/or non-recurring items.

Free cash flow

Free cash flow represents cash flow from operating activities (a GAAP measure) less capital expenditures. Management believes free cash flow is a useful measure of liquidity and an additional basis for assessing RTX's ability to fund its activities, including the financing of acquisitions, debt service, repurchases of RTX's common stock, and distribution of earnings to shareowners.

1 Net significant and/or non-recurring items represent significant nonoperational items and/or significant operational items that may occur at irregular intervals.

2 Acquisition accounting adjustments include the amortization of acquired intangible assets related to acquisitions, the amortization of the property, plant and equipment fair value adjustment acquired through acquisitions, the amortization of customer contractual obligations related to loss making or below market contracts acquired, and goodwill impairment, if applicable.

3 The FAS/CAS operating adjustment represents the difference between the service cost component of our pension and postretirement benefit (PRB) expense under the Financial Accounting Standards (FAS) requirements of GAAP and our pension and PRB expense under U.S. government Cost Accounting Standards (CAS) primarily related to our Raytheon segment.

When we provide our expectation for adjusted net sales (also referred to as adjusted sales), organic sales, adjusted operating profit (loss) and margin percentage (ROS), adjusted segment operating profit (loss) and margin percentage (ROS), adjusted EPS, adjusted effective tax rate, and free cash flow, on a forward-looking basis, a reconciliation of the differences between the non-GAAP expectations and the corresponding GAAP measures, as described above, generally are not available without unreasonable effort due to potentially high variability, complexity, and low visibility as to the items that would be excluded from the GAAP measure in the relevant future period, such as unusual gains and losses, the ultimate outcome of pending litigation, fluctuations in foreign currency exchange rates, the impact and timing of potential acquisitions and divestitures, and other structural changes or their probable significance. The variability of the excluded items may have a significant, and potentially unpredictable, impact on our future GAAP results.

Cautionary Statement Regarding Forward-Looking Statements This press release contains statements which, to the extent they are not statements of historical or present fact, constitute "forward-looking statements" under the securities laws. These forward-looking statements are intended to provide RTX Corporation ("RTX") management's current expectations or plans for our future operating and financial performance, based on assumptions currently believed to be valid, and are not statements of historical fact. Forward-looking statements can be identified by the use of words such as "believe," "expect," "expectations," "plans," "strategy," "prospects," "estimate," "project," "target," "anticipate," "will," "should," "see," "guidance," "outlook," "goals," "objectives," "confident," "on track," "designed to," "commit," "commitment" and other words of similar meaning. Forward-looking statements may include, among other things, statements relating to future sales, earnings, cash flow, results of operations, uses of cash, share repurchases, tax payments and rates, research and development spending, cost savings, other measures of financial performance, potential future plans, strategies or transactions, credit ratings and net indebtedness, the Pratt powder metal matter and related matters and activities, including without limitation other engine models that may be impacted, targets and commitments (including for share repurchases or otherwise), and other statements which are not solely historical facts. All forward-looking statements involve risks, uncertainties, changes in circumstances and other factors that are hard to predict and each of which may cause actual results to differ materially from those expressed or implied in the forward-looking statements. For those statements, we claim the protection of the safe harbor for forward-looking statements contained in the U.S. Private Securities Litigation Reform Act of 1995, as amended. Such risks, uncertainties and other factors include, without limitation: (1) changes in economic, capital market, and political conditions in the U.S. and globally; (2) changes in U.S. or foreign government defense spending, national priorities, and policy positions; (3) our performance on our contracts and programs, including our ability to control costs, and our dependence on U.S. government approvals for certain international contracts; (4) challenges in the development, certification, production, delivery, support, and performance of RTX's advanced technologies and new products and services and the realization of the anticipated benefits; (5) the challenges of operating in RTX's highly-competitive industries both domestically and abroad; (6) our reliance on U.S. and non-U.S. suppliers and commodity markets, including cost increases and disruptions in the delivery of materials and services to RTX or our suppliers; (7) changes in trade policies, implementation of sanctions, imposition of tariffs (and counter-tariffs) and other trade measures and restrictions, foreign currency fluctuations, and sales methods; (8) the economic condition of the aerospace industry; (9) the ability of RTX to attract, train, qualify, and retain qualified personnel and maintain its culture and high ethical standards, and the ability of our personnel to continue to operate our facilities and businesses around the world; (10) the scope, nature, timing, and challenges of managing and completing acquisitions, investments, divestitures, and other transactions; (11) compliance with legal, environmental, regulatory, and other requirements in the U.S. and other countries in which RTX and its businesses operate; (12) pending, threatened, and future legal proceedings, investigations, audits and other contingencies; (13) the previously-disclosed deferred prosecution agreements entered into between RTX and the Department of Justice (DOJ), the Securities and Exchange Commission (SEC) administrative order imposed on RTX, and the related investigations by the SEC and DOJ, the consent agreement between RTX and the Department of State, and the administrative agreement between RTX and the Department of the Navy; (14) RTX's ability to engage in desirable capital-raising or strategic transactions; (15) repurchases by RTX of its common stock, or declarations of cash dividends, which may be discontinued, accelerated, suspended, or delayed at any time due to various factors; (16) realizing expected benefits from, incurring costs for, and successfully managing strategic initiatives such as cost reduction, restructuring, digital transformation, and other operational initiatives; (17) additional tax exposures due to new tax legislation or other developments in the U.S. and other countries in which RTX and its businesses operate; (18) the identified rare condition in powder metal used to manufacture certain Pratt & Whitney engine parts requiring accelerated removals and inspections of a significant portion of the PW1100G-JM Geared Turbofan (GTF) fleet; (19) changes in production volumes of one or more of our significant customers as a result of business, labor, or other challenges, and the resulting effect on its or their demand for our products and services; (20) an RTX product safety failure, quality issue, or other failure affecting RTX's or its customers' or suppliers' products or systems; (21) cybersecurity, including cyber-attacks on RTX's information technology infrastructure, products, suppliers, customers and partners, and cybersecurity-related regulations; (22) insufficient indemnity or insurance coverage; (23) our intellectual property and certain third-party intellectual property; (24) threats to RTX facilities and personnel, or those of its suppliers or customers, as well as public health crises, damaging weather, acts of nature, or other similar events outside of RTX's control that may affect RTX or its suppliers or customers; (25) changes in accounting estimates for our programs on our financial results; (26) changes in pension and other postretirement plan estimates and assumptions and contributions; (27) an impairment of goodwill and other intangible assets; and (28) climate change and climate-related regulations, and related customer and market demands, products and technologies. For additional information on identifying factors that may cause actual results to differ materially from those expressed or implied in the forward-looking statements, see the reports of RTX filed with or furnished to the Securities and Exchange Commission from time to time, including our most recent Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Any forward-looking statement speaks only as of the date on which it is made, and RTX assumes no obligation to update or revise such statement, whether as a result of new information, future events or otherwise, except as required by applicable law.

RTX Corporation

Condensed Consolidated Statement of Operations

Quarter Ended
September 30,

Nine Months Ended
September 30,

(Unaudited)

(Unaudited)

(dollars in millions, except per share amounts; shares in millions)

2026

2025

2026

2025

Net Sales

$   24,965

$   22,478

$   71,749

$   64,365

Costs and expenses:

Cost of sales

19,160

17,898

56,217

51,293

Research and development

711

684

2,064

2,018

Selling, general, and administrative

1,918

1,436

5,052

4,457

Total costs and expenses

21,789

20,018

63,333

57,768

Other income, net

161

63

287

107

Operating profit

3,337

2,523

8,703

6,704

Non-service pension income

(345)

(364)

(1,048)

(1,081)

Interest expense, net

381

449

1,188

1,349

Income before income taxes

3,301

2,438

8,563

6,436

Income tax expense

593

432

1,449

1,080

Net income

2,708

2,006

7,114

5,356

Less: Noncontrolling interest in subsidiaries' earnings

125

88

333

246

Net income attributable to common shareowners

$     2,583

$     1,918

$     6,781

$     5,110

Earnings Per Share attributable to common shareowners:

Basic

$      1.91

$      1.43

$      5.02

$      3.81

Diluted

$      1.89

$      1.41

$      4.96

$      3.77

Weighted Average Shares Outstanding:

Basic shares

1,352.2

1,343.1

1,350.2

1,340.2

Diluted shares

1,368.1

1,358.4

1,365.8

1,354.7

RTX Corporation

Segment Net Sales and Operating Profit (Loss)

Quarter Ended

Nine Months Ended

(Unaudited)

(Unaudited)

September 30, 2026

September 30, 2025

September 30, 2026

September 30, 2025

(dollars in millions)

Reported

Adjusted

Reported

Adjusted

Reported

Adjusted

Reported

Adjusted

Net Sales

Collins Aerospace

$ 8,382

$ 8,382

$ 7,621

$ 7,621

$24,194

$24,194

$22,460

$22,460

Pratt & Whitney

9,231

9,231

8,423

8,423

26,293

26,293

23,420

23,420

Raytheon

8,031

8,031

7,045

7,045

23,245

23,245

20,386

20,386

Total segments

25,644

25,644

23,089

23,089

73,732

73,732

66,266

66,266

Eliminations and other

(679)

(679)

(611)

(611)

(1,983)

(1,983)

(1,901)

(1,901)

Consolidated

$24,965

$24,965

$22,478

$22,478

$71,749

$71,749

$64,365

$64,365

Operating Profit (Loss)

Collins Aerospace

$ 1,789

$ 1,788

$ 1,260

$ 1,194

$ 4,402

$ 4,456

$ 3,521

$ 3,670

Pratt & Whitney

608

968

751

751

2,056

2,419

1,823

1,949

Raytheon

1,133

1,134

859

859

3,016

3,022

2,342

2,346

Total segments

3,530

3,890

2,870

2,804

9,474

9,897

7,686

7,965

Eliminations and other

110

(49)

(14)

(14)

246

17

22

(19)

Corporate expenses and other unallocated items

(26)

(25)

(25)

(23)

(138)

(59)

(110)

(94)

FAS/CAS operating adjustment

171

171

199

199

514

514

570

570

Acquisition accounting adjustments

(448)

—

(507)

—

(1,393)

—

(1,464)

—

Consolidated

$ 3,337

$ 3,987

$ 2,523

$ 2,966

$ 8,703

$          10,369

$ 6,704

$ 8,422

Segment Operating Profit Margin

Collins Aerospace

21.3 %

21.3 %

16.5 %

15.7 %

18.2 %

18.4 %

15.7 %

16.3 %

Pratt & Whitney

6.6 %

10.5 %

8.9 %

8.9 %

7.8 %

9.2 %

7.8 %

8.3 %

Raytheon

14.1 %

14.1 %

12.2 %

12.2 %

13.0 %

13.0 %

11.5 %

11.5 %

Total segment

13.8 %

15.2 %

12.4 %

12.1 %

12.8 %

13.4 %

11.6 %

12.0 %

RTX Corporation

Condensed Consolidated Balance Sheet

September 30, 2026

December 31, 2025

(dollars in millions)

(Unaudited)

(Unaudited)

Assets

Cash and cash equivalents

$           9,173

$           7,435

Accounts receivable, net

14,681

14,701

Contract assets, net

18,701

17,092

Inventory, net

14,953

13,364

Other assets, current

8,561

7,740

Total current assets

66,069

60,332

Customer financing assets

1,880

2,132

Fixed assets, net

17,235

16,868

Operating lease right-of-use assets

1,770

1,887

Goodwill

52,969

53,343

Intangible assets, net

30,652

31,845

Other assets

6,021

4,672

Total assets

$        176,596

$        171,079

Liabilities, Redeemable Noncontrolling Interest, and Equity

Short-term borrowings

$               210

$               204

Accounts payable

17,803

15,895

Accrued employee compensation

3,155

3,308

Other accrued liabilities

14,801

14,350

Contract liabilities

21,550

21,615

Long-term debt currently due

5,679

3,412

Total current liabilities

63,198

58,784

Long-term debt

31,490

34,288

Operating lease liabilities, non-current

1,495

1,602

Future pension and postretirement benefit obligations

1,913

2,067

Other long-term liabilities

7,508

7,200

Total liabilities

105,604

103,941

Redeemable noncontrolling interest

28

36

Shareowners' Equity:

Common stock

38,673

38,126

Treasury stock

(26,712)

(26,881)

Retained earnings

60,597

56,718

Accumulated other comprehensive loss

(3,308)

(2,718)

Total shareowners' equity

69,250

65,245

Noncontrolling interest

1,714

1,857

Total equity

70,964

67,102

Total liabilities, redeemable noncontrolling interest, and equity

$        176,596

$        171,079

RTX Corporation

Condensed Consolidated Statement of Cash Flows

Quarter Ended
September 30,

Nine Months Ended
September 30,

(Unaudited)

(Unaudited)

(dollars in millions)

2026

2025

2026

2025

Operating Activities:

Net income

$     2,708

$     2,006

$     7,114

$     5,356

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

Depreciation and amortization

1,068

1,091

3,218

3,219

Deferred income tax provision

90

477

60

598

Stock compensation cost

159

113

455

337

Net periodic pension and other postretirement income

(304)

(320)

(920)

(956)

Share-based 401(k) matching contributions

135

128

474

435

Change in:

Accounts receivable

(717)

(351)

377

(1,488)

Contract assets

(242)

(934)

(2,184)

(2,124)

Inventory

(543)

182

(1,686)

(1,015)

Other current assets

(552)

(879)

(974)

(979)

Accounts payable and accrued liabilities

1,806

2,237

2,753

2,096

Contract liabilities

(980)

986

(688)

1,329

Other operating activities, net

240

(97)

271

(406)

Net cash flows provided by operating activities

2,868

4,639

8,270

6,402

Investing Activities:

Capital expenditures

(749)

(614)

(1,964)

(1,657)

Dispositions of businesses, net of cash transferred

—

1,188

—

1,188

Increase in other intangible assets

(73)

(121)

(229)

(347)

Receipts from settlements of derivative contracts, net

7

42

8

187

Other investing activities, net

(42)

(24)

(224)

(87)

Net cash flows (used in) provided by investing activities

(857)

471

(2,409)

(716)

Financing Activities:

Repayment of long-term debt

(2)

(1,500)

(526)

(2,289)

Change in commercial paper, net

—

(1,432)

—

—

Dividends paid

(984)

(910)

(2,882)

(2,660)

Repurchase of common stock

—

—

—

(50)

Other financing activities, net

(190)

(81)

(677)

(333)

Net cash flows used in financing activities

(1,176)

(3,923)

(4,085)

(5,332)

Effect of foreign exchange rate changes on cash and cash equivalents

3

(10)

(16)

44

Net increase in cash, cash equivalents, and restricted cash

838

1,177

1,760

398

Cash, cash equivalents and restricted cash, beginning of period

8,392

4,827

7,470

5,606

Cash, cash equivalents and restricted cash, end of period

9,230

6,004

9,230

6,004

Less: Restricted cash, included in Other assets, current and Other assets

57

38

57

38

Cash and cash equivalents, end of period

$     9,173

$     5,966

$     9,173

$     5,966

RTX Corporation

Reconciliation of Adjusted (Non-GAAP) Results

Adjusted Sales, Adjusted Operating Profit (Loss) & Operating Profit (Loss) Margin

Quarter Ended
September 30,

Nine Months Ended
September 30,

(Unaudited)

(Unaudited)

(dollars in millions - Income (Expense))

2026

2025

2026

2025

Collins Aerospace

Net sales

$    8,382

$     7,621

$    24,194

$   22,460

Operating profit

$    1,789

$     1,260

$      4,402

$     3,521

Restructuring

6

(17)

(49)

(169)

Gain on sale of businesses, net of transaction and other related costs (1)

—

95

—

95

Portfolio transformation and divestiture costs (1)

(5)

(12)

(5)

(75)

Adjusted operating profit

$    1,788

$     1,194

$      4,456

$     3,670

Adjusted operating profit margin

21.3 %

15.7 %

18.4 %

16.3 %

Pratt & Whitney

Net sales

$    9,231

$     8,423

$    26,293

$   23,420

Operating profit

$       608

$        751

$      2,056

$     1,823

Restructuring

3

—

—

(18)

Customer bankruptcy (1)

(363)

—

(363)

(108)

Adjusted operating profit

$       968

$        751

$      2,419

$     1,949

Adjusted operating profit margin

10.5 %

8.9 %

9.2 %

8.3 %

Raytheon

Net sales

$    8,031

$     7,045

$    23,245

$   20,386

Operating profit

$    1,133

$        859

$      3,016

$     2,342

Restructuring

(1)

—

(6)

(4)

Adjusted operating profit

$    1,134

$        859

$      3,022

$     2,346

Adjusted operating profit margin

14.1 %

12.2 %

13.0 %

11.5 %

Eliminations and Other

Net sales

$      (679)

$       (611)

$    (1,983)

$    (1,901)

Operating profit

$       110

$         (14)

$        246

$          22

Gains on investments (1)

159

—

229

41

Adjusted operating profit (loss)

$       (49)

$         (14)

$          17

$         (19)

Corporate expenses and other unallocated items

Operating loss

$       (26)

$         (25)

$       (138)

$       (110)

Restructuring

(1)

(2)

(10)

(11)

Tax audit settlements and closures (1)

—

—

—

(5)

Litigation matter (1)

—

—

(69)

—

Adjusted operating profit (loss)

$       (25)

$         (23)

$         (59)

$         (94)

FAS/CAS Operating Adjustment

Operating profit

$      171

$        199

$        514

$        570

Acquisition Accounting Adjustments

Operating loss

$     (448)

$       (507)

$    (1,393)

$    (1,464)

Acquisition accounting adjustments

(448)

(507)

(1,393)

(1,464)

Adjusted operating loss

$         —

$          —

$          —

$          —

RTX Consolidated

Net sales

$  24,965

$  22,478

$  71,749

$  64,365

Operating profit

$    3,337

$    2,523

$    8,703

$    6,704

Restructuring

7

(19)

(65)

(202)

Acquisition accounting adjustments

(448)

(507)

(1,393)

(1,464)

Total net significant and/or non-recurring items included in Operating profit above (1)

(209)

83

(208)

(52)

Adjusted operating profit

$    3,987

$    2,966

$  10,369

$    8,422

(1)  Refer to "Non-GAAP Financial Adjustments" below for a description of these adjustments.

RTX Corporation

Reconciliation of Adjusted (Non-GAAP) Results

Adjusted Income, Earnings Per Share, and Effective Tax Rate

Quarter Ended
September 30,

Nine Months Ended
September 30,

(Unaudited)

(Unaudited)

(dollars in millions - Income (Expense))

2026

2025

2026

2025

Net income attributable to common shareowners

$  2,583

$  1,918

$  6,781

$  5,110

Total Restructuring

7

(19)

(65)

(202)

Total Acquisition accounting adjustments

(448)

(507)

(1,393)

(1,464)

Total net significant and/or non-recurring items included in Operating profit (1)

(209)

83

(208)

(52)

Significant and/or non-recurring items included in Non-service Pension Income

Non-service pension restructuring

(3)

—

(7)

—

Significant non-recurring and non-operational items included in Interest Expense, Net

Tax audit settlements and closures (1)

—

—

—

54

International tax matter (1)

—

—

—

(35)

Tax effect of restructuring and net significant and/or non-recurring items above

145

50

359

330

Significant and/or non-recurring items included in Income Tax Expense

Tax audit settlements and closures (1)

—

—

—

59

Less: Impact on net income attributable to common shareowners

(508)

(393)

(1,314)

(1,310)

Adjusted net income attributable to common shareowners

$  3,091

$  2,311

$  8,095

$  6,420

Diluted Earnings Per Share

$    1.89

$    1.41

$    4.96

$   3.77

Impact on Diluted Earnings Per Share

(0.37)

(0.29)

(0.97)

(0.97)

Adjusted Diluted Earnings Per Share

$    2.26

$    1.70

$    5.93

$     4.74

Effective Tax Rate

18.0 %

17.7 %

16.9 %

16.8 %

Impact on Effective Tax Rate

(0.7) %

1.0 %

(0.8) %

(1.3) %

Adjusted Effective Tax Rate

18.7 %

16.7 %

17.7 %

18.1 %

(1)  Refer to "Non-GAAP Financial Adjustments" below for a description of these adjustments.

RTX Corporation

Reconciliation of Adjusted (Non-GAAP) Results

Segment Operating Profit Margin and Adjusted Segment Operating Profit Margin

Quarter Ended
September 30,

Nine Months Ended
September 30,

(Unaudited)

(Unaudited)

(dollars in millions)

2026

2025

2026

2025

Net Sales

$  24,965

$  22,478

$  71,749

$  64,365

Reconciliation to segment net sales:

Eliminations and other

679

611

1,983

1,901

Segment Net Sales

$  25,644

$  23,089

$  73,732

$  66,266

Operating Profit

$    3,337

$    2,523

$    8,703

$    6,704

Operating Profit Margin

13.4 %

11.2 %

12.1 %

10.4 %

Reconciliation to segment operating profit:

Eliminations and other

(110)

14

(246)

(22)

Corporate expenses and other unallocated items

26

25

138

110

FAS/CAS operating adjustment

(171)

(199)

(514)

(570)

Acquisition accounting adjustments

448

507

1,393

1,464

Segment Operating Profit

$    3,530

$    2,870

$    9,474

$    7,686

Segment Operating Profit Margin

13.8 %

12.4 %

12.8 %

11.6 %

Reconciliation to adjusted segment operating profit:

Restructuring

8

(17)

(55)

(191)

Net significant and/or non-recurring items (1)

(368)

83

(368)

(88)

Adjusted Segment Operating Profit

$    3,890

$    2,804

$    9,897

$    7,965

Adjusted Segment Operating Profit Margin

15.2 %

12.1 %

13.4 %

12.0 %

(1)  Refer to "Non-GAAP Financial Adjustments" below for a description of these adjustments.

RTX Corporation

Free Cash Flow Reconciliation

Quarter Ended September 30,

(Unaudited)

(dollars in millions)

2026

2025

Net cash flows provided by operating activities

$         2,868

$         4,639

Capital expenditures

(749)

(614)

Free cash flow

$         2,119

$         4,025

Nine Months Ended September 30,

(Unaudited)

(dollars in millions)

2026

2025

Net cash flows provided by operating activities

$         8,270

$         6,402

Capital expenditures

(1,964)

(1,657)

Free cash flow

$         6,306

$         4,745

RTX Corporation

Reconciliation of Adjusted (Non-GAAP) Results

Organic Sales Reconciliation

Quarter ended September 30, 2026 compared to the Quarter Ended September 30, 2025

(Unaudited)

(dollars in millions)

Total Reported
Change

Acquisitions &
Divestitures
Change

FX / Other
Change (2)

Organic Change

Prior Year
Adjusted Sales (1)

Organic Change
as a % of
Adjusted Sales

Collins Aerospace

$           761

$          (138)

$            (8)

$           907

$         7,621

12 %

Pratt & Whitney

808

—

(8)

816

8,423

10 %

Raytheon

986

—

6

980

7,045

14 %

Eliminations and Other (3)

(68)

14

10

(92)

(611)

15 %

Consolidated

$         2,487

$          (124)

$            —

$         2,611

$       22,478

12 %

(1)

For the full Non-GAAP reconciliation of adjusted sales refer to "Reconciliation of Adjusted (Non-GAAP) Results - Adjusted Sales, Adjusted Operating Profit & Operating Profit Margin."

(2)

Includes other significant non-operational items and/or significant operational items that may occur at irregular intervals.

(3)

FX/Other Change includes the transactional impact of foreign exchange hedging at Pratt & Whitney Canada, which is included in Pratt & Whitney's FX/Other Change, but excluded for Consolidated RTX.

Nine Months Ended September 30, 2026 compared to the Nine Months Ended September 30, 2025

(Unaudited)

(dollars in millions)

Total Reported
Change

Acquisitions &
Divestitures
Change

FX / Other
Change (2)

Organic Change

Prior Year
Adjusted Sales (1)

Organic Change
as a % of
Adjusted Sales

Collins Aerospace

$         1,734

$          (925)

$            43

$         2,616

$       22,460

12 %

Pratt & Whitney

2,873

—

13

2,860

23,420

12 %

Raytheon

2,859

—

35

2,824

20,386

14 %

Eliminations and Other (3)

(82)

40

(21)

(101)

(1,901)

5 %

Consolidated

$         7,384

$          (885)

$            70

$         8,199

$       64,365

13 %

(1)

For the full Non-GAAP reconciliation of adjusted sales refer to "Reconciliation of Adjusted (Non-GAAP) Results - Adjusted Sales, Adjusted Operating Profit & Operating Profit Margin."

(2)

Includes other significant non-operational items and/or significant operational items that may occur at irregular intervals.

(3)

FX/Other Change includes the transactional impact of foreign exchange hedging at Pratt & Whitney Canada, which is included in Pratt & Whitney's FX/Other Change, but excluded for Consolidated RTX.

Non-GAAP Financial Adjustments

Non-GAAP Adjustments

Description

Portfolio transformation and divestiture costs

The quarters and nine months ended September 30, 2026 and 2025 include separation costs incurred in advance of the completion of certain divestitures.

Customer bankruptcy

The quarter and nine months ended September 30, 2026 include a net pre-tax charge of approximately $0.4 billion related to a customer bankruptcy at Pratt & Whitney. The nine months ended September 30, 2025 includes a net pre-tax charge of approximately $0.1 billion related to a customer bankruptcy at Pratt & Whitney. The charges primarily relate to contract asset exposures with specific customers. Management has determined that the nature and significance of these charges is considered unusual and, therefore, not indicative of the Company's ongoing operational performance.

Gain on sale of businesses, net of transaction and other related costs

The quarters and nine months ended September 30, 2025 include a pre-tax gain, net of transaction and other related costs, of $0.1 billion associated with the completed sale of the actuation and flight control business at Collins. Management has determined that the nature of the net gain on this divestiture is considered significant and non-operational and, therefore, not indicative of the Company's ongoing operational performance.

Gains on investments

The quarter and nine months ended September 30, 2026 include a pre-tax gain of $159 million and $229 million, respectively, related to the increase in fair value on certain investments. The nine months ended September 30, 2025 includes a pre-tax gain of $41 million related to the increase in fair value on an investment. Management has determined that the nature of the gains on these investments is considered significant and non-operational and, therefore, not indicative of the Company's ongoing operational performance.

Tax audit settlements and closures

The nine months ended September 30, 2025 includes a tax benefit of $59 million and a pre-tax benefit on the reversal of $54 million of interest accruals both recognized as a result of the closure of the examination phase of multiple state tax audits.

Media Contact
202.384.2474

Investor Contact
781.522.5123

SOURCE RTX

Spotify on Tuesday launched paid memberships, a new way for podcasters to make money from their biggest fans beyond paywalled bonus episodes. Creators can decide which perks to offer listeners, which could be bonus audio or video, fewer ads, early access to shows, or some combination of these.

The streaming service first previewed the idea at its Investor Day in May, where it also introduced AI capabilities that let listeners ask questions about what they’re listening to or watching and debuted new tools for managing creator sponsorships.

Image Credits:Spotify
As the company explained at the time, memberships would help to “create a natural path to go deeper, unlocking new and exclusive experiences for fans and new revenue opportunities for creators.”

The feature is now rolling out to 34 markets globally, including the U.S.

The launch is the latest example of Spotify’s effort to make its platform more attractive to podcast creators, particularly as it moves further into the video space to compete with YouTube. Though podcasters have long been able to monetize through ads, the new memberships could entice more fans to support creators by offering more than just an occasional bonus episode.

Creators keep 90% of the membership revenue and can package their benefits across multiple tiers and pricing options to appeal to fans at different levels of commitment. To qualify, podcasters must host their shows on Spotify for Creators or Megaphone, have at least 100 consumption hours, 100 listeners or viewers, and at least three published episodes.

Image Credits:Spotify
Fans will see memberships promoted on the show’s Spotify page, where they can subscribe, pay, and immediately access the exclusive content. (The company tells us that memberships will be purchased on the web, not through in-app purchases).

A handful of shows will offer memberships at launch, including “The Adam Friedland Show,” “Making Sense with Sam Harris,” “Shawn Ryan Show,” “The Sculpt Society,” “Two Hot Takes,” as well as YMH Studios, which is bringing memberships to 12 shows across its network.

Memberships join other Spotify monetization tools, including advertising and the Spotify Partner Program, as well as features that help creators grow their audience, like promotions, free trials, and analytics. Soon, Spotify says creators will be able to offer fans membership badges and welcome clips, too.

When you purchase through links in our articles, we may earn a small commission. This doesn’t affect our editorial independence.

Sarah has worked as a reporter for TechCrunch since August 2011. She joined the company after having previously spent over three years at ReadWriteWeb. Prior to her work as a reporter, Sarah worked in I.T. across a number of industries, including banking, retail and software.

You can contact or verify outreach from Sarah by emailing [email protected] or via encrypted message at sarahperez.01 on Signal.

Targets approximately 3% comparable sales growth excluding fuel and pharmacy in 2029, 3%-6% adjusted EBITDA growth and 7%-11% adjusted net EPS growth through 2029

Reaffirms Guidance for 2026

, /PRNewswire/ -- The Kroger Co. (NYSE: KR) will host an Investor Update today in New York, where company leaders will outline a multi-year plan to build America's Favorite Grocer and accelerate growth. The company also reiterates its guidance for full-year 2026 provided at its second quarter earnings.

Comments from CEO Greg Foran 

"Kroger has a clear opportunity to unlock our full potential and build America's Favorite
Grocer," said Greg Foran, CEO of Kroger. "We are making value more visible and focusing resources closer to the customer where we see the highest returns. With our customers at the center, we are simplifying and modernizing our business to deliver a great customer experience and provide long-term value to our shareholders."

Building America's Favorite Grocer

Kroger's updated strategy centers on three pillars, with a clear focus on execution and the customer at the center.

Win With the Customer: Kroger will deliver more value for customers through a self-funded plan. The company will invest in areas of strength, including Fresh and meals, grow Our Brands penetration and Boost membership, and expand into markets where it sees attractive returns.
Drive Profitable Digital Growth: Kroger expects to grow eCommerce sales and Retail Media revenue, winning more of customers' online shopping and accelerating growth in Kroger Precision Marketing.
Modernize How We Operate: Kroger expects to generate savings through more direct sourcing, disciplined purchasing, streamlined processes and a more scalable operating model, with technology and AI improving execution. These savings will fuel greater customer value and fund growth across the business.

Kroger's Long-Term Financial Framework

Kroger is introducing an updated financial framework intended to give investors a clearer view of the performance of its core grocery business. The company is targeting:

Approximately 3% comparable sales growth in 2029, excluding fuel and pharmacy(1);
3%-6% adjusted EBITDA CAGR for FY2027 through FY2029(1); and
7%-11% adjusted net EPS CAGR for FY2027 through FY2029(1).

(1) Excludes the pending acquisition of Giant Eagle.

The new EPS target measures earnings growth alone. It replaces the previous 8%-11% total shareholder return target, which included the dividend yield, and implies a stronger earnings outlook. The company's capital allocation strategy remains unchanged and focused on making high-return growth investments, maintaining financial strength and returning surplus capital to shareholders via dividends, subject to board approval, and share buybacks.

"Our financial framework reflects our renewed focus on the core grocery business and provides a clearer line of sight from operating performance to shareholder value," said David Kennerley, CFO of Kroger. "We are targeting higher sales by 2029, with stronger adjusted EBITDA and adjusted EPS growth over the next three years. We remain focused on delivering customer value in a fully self-funded way, prioritizing high-return investments and disciplined cost savings so we can expand margins over time while continuing to invest in growth."

Investor Update

Kroger's 2026 Investor Update will include presentations from members of the company's leadership team on customer value, eCommerce, Retail Media, store execution, operations and the company's long-term financial framework.

The live webcast of the event is scheduled to begin at 9:00 a.m. ET and is expected to conclude at approximately 12:00 p.m. ET. All interested parties are invited to access the webcast at ir.kroger.com under Events & Presentations.

An on-demand replay of the webcast and presentation materials will be available on Kroger's investor relations website following the event.

About Kroger

The Kroger Co. (NYSE: KR) is one of America's largest retailers, serving more than 11 million customers daily through a digital shopping experience and retail food stores under a variety of banner names. With more than 400,000 associates across our family of companies, Kroger is committed to providing America with affordable, great-tasting food and creating #ZeroHungerZeroWaste communities. To learn more about us, visit our newsroom and investor relations site.

This press release includes forward-looking non-GAAP financial measures which management believes to be useful to investors and analysts.  Kroger is unable to provide a full reconciliation of the GAAP and non-GAAP measures used in its guidance without unreasonable effort because it is not possible to predict with a reasonable degree of certainty.  It is not possible to estimate with a reasonable degree of certainty certain adjustment items because such information is dependent upon future events that may be outside of our control. The unavailable information could have a significant impact on GAAP financial results.

This press release contains certain statements that constitute "forward-looking statements" about Kroger's financial position and the future performance of the company. These statements are based on management's assumptions and beliefs in light of the information currently available to it. Such statements are indicated by words or phrases such as "achieve,"  "continuing," "deliver," "drive," "expect," "focused," "framework," "guidance," "implies," "long-term," "may," "model," "opportunities," "plan," "strategy," "target," "trends," "will," and variations of such words and similar phrases. Various uncertainties and other factors could cause actual results to differ materially from those contained in the forward-looking statements. These include the specific risk factors identified in "Risk Factors" in our annual report on Form 10-K for our last fiscal year and any subsequent filings, as well as the following:

Kroger's ability to achieve adjusted EBITDA CAGR, adjusted net EPS CAGR, sales, and earnings may be affected by: labor negotiations; potential work stoppages; changes in the unemployment rate; pressures in the labor market; changes in government-funded benefit programs; changes in the types and numbers of businesses that compete with us; pricing and promotional activities of existing and new competitors and the aggressiveness of that competition; our response to these actions; the state of the economy, including interest rates, the inflationary, disinflationary and/or deflationary trends and such trends in certain commodities, products and/or operating costs; the geopolitical environment including wars and conflicts; unstable political situations and social unrest; changes in tariffs; the effect that fuel costs have on consumer spending; volatility of fuel margins; manufacturing commodity costs; supply constraints; diesel fuel costs related to our logistics operations; trends in consumer spending; the extent to which our customers exercise caution in their purchasing in response to economic conditions; the uncertainty of economic growth or recession; stock repurchases; changes in the regulatory environment in which we operate, along with changes in federal policy and at state and federal regulatory agencies; our ability to retain pharmacy sales from third-party payors; consolidation in the healthcare industry, including pharmacy benefit managers; our ability to negotiate modifications to multi-employer pension plans; our ability to attract and retain qualified individuals; natural disasters or adverse weather conditions; the effect of public health crises or other significant catastrophic events; the potential costs and risks associated with potential cyberattacks or data security breaches; the potential costs and risks associated with new technologies, including artificial intelligence; the success of our future growth plans; the ability to execute our growth strategy and value creation model, including continued cost savings, growth of our media businesses, and our ability to better serve our customers and to generate customer loyalty and sustainable growth through Fresh, Our Brands, Personalization and eCommerce; the outcome of litigation matters, including those relating to the terminated transaction with Albertsons Companies, Inc.; and the risks relating to or arising from our opioid litigation settlements, including the risk of litigation relating to persons, entities, or jurisdictions that do not participate in those settlements.
Kroger's ability to achieve these goals may also be affected by its ability to manage the factors identified above. The ability to execute the financial strategy may be affected by the company's ability to generate cash flow.

Kroger's adjusted effective tax rate may differ from the expected rate due to changes in tax laws and policies, the status of pending items with various taxing authorities and the deductibility of certain expenses.

We cannot fully foresee the effects of changes in economic conditions on our business.

Kroger assumes no obligation to update the information contained herein unless required by applicable law. Please refer to Kroger's reports and filings with the Securities and Exchange Commission for a further discussion of these risks and uncertainties.

SOURCE The Kroger Co.

Synchrony (SYF - Free Report) came out with quarterly earnings of $2.68 per share, beating the Zacks Consensus Estimate of $2.48 per share. This compares to earnings of $2.86 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +8.07%. A quarter ago, it was expected that this consumer credit company would post earnings of $2.08 per share when it actually produced earnings of $2.59, delivering a surprise of +24.52%.

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

Synchrony, which belongs to the Zacks Financial - Miscellaneous Services industry, posted revenues of $4.81 billion for the quarter ended September 2026, missing the Zacks Consensus Estimate by 0.56%. This compares to year-ago revenues of $4.72 billion. The company has topped consensus revenue estimates just once over the last four quarters.

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

Synchrony shares have lost about 11% since the beginning of the year versus the S&P 500's gain of 12.4%.

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

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

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

Ahead of this earnings release, the estimate revisions trend for Synchrony was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $2.04 on $4.96 billion in revenues for the coming quarter and $9.40 on $19.05 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Financial - Miscellaneous Services is currently in the bottom 31% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Another stock from the same industry, WisdomTree, Inc. (WT - Free Report) , has yet to report results for the quarter ended September 2026. The results are expected to be released on October 30.

This company is expected to post quarterly earnings of $0.30 per share in its upcoming report, which represents a year-over-year change of +30.4%. The consensus EPS estimate for the quarter has been revised 0.8% higher over the last 30 days to the current level.

WisdomTree, Inc.'s revenues are expected to be $181.31 million, up 44.3% from the year-ago quarter.

SummaryRocket Lab fell to roughly $51, creating a substantially better risk-reward setup despite Neutron’s inaugural launch slipping into 2027.Q2 revenue surged 62% to $234 million, while backlog reached $2.36 billion, and Space Systems represented 81% of revenue.Neutron’s biggest risk is manufacturing maturity, with another first-stage tank problem making successful qualification the critical 2027 de-risking milestone.RKLB trades around 29.4x forward EV/Sales, below AST SpaceMobile and SpaceX, despite its increasingly diversified space infrastructure platform. Alones Creative/iStock via Getty Images

Introduction It has never been difficult for me to believe in Rocket Lab Corporation (RKLB). It has always been difficult for me to evaluate the company in a proper way due to overpaying

1.1K Followers

Analyst’s Disclosure: I/we have a beneficial long position in the shares of RKLB either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Northrop Grumman (NOC.N) raised its annual profit forecast on ​Tuesday after strong demand for military aircraft, missile and ‌defense programs helped beat Wall Street estimates for third-quarter profit, and drove its backlog to a record high.

Shares of the West Falls Church, Virginia-based defense contractor rose ​nearly 2% before the bell.

Northrop, which makes the B-21 Raider bomber ​and parts for the F-35 fighter jets, has been benefiting ⁠from rising US and allied military spending amid heightened geopolitical ​tensions.

"I'm confident our new record backlog, well-positioned portfolio and investments, and industry-leading ​performance will continue to drive sales and earnings growth as reflected in our 2027 outlook," said CEO Kathy Warden.

The company secured $16.4 billion in new contracts during ​the quarter, with its orders growing at 1.5 times its billings, ​driven by strong demand across programs including Sentinel, the F-35, Virginia-class submarines and certain ‌classified ⁠programs.

Northrop's backlog rose to a record $109.6 billion as of September 30.

It now sees full-year 2026 adjusted profit per share in the range of $29.35 to $29.75, compared with its prior forecast if between $28.60 and $29.10.

Quarterly sales rose 7% ​from a year ​ago to $11.12 billion ⁠on higher sales across all four sectors. Analysts expected $11.14 billion, according to data compiled by LSEG.

This growth ​was mainly driven by a 14% increase at ​its Aeronautics ⁠Systems unit, which benefited from increased B-21 bomber sales, higher F-35 production and sustainment work.

Sales at its Defense Systems segment increased 12%, boosted by ⁠the ​continued ramp-up of the Sentinel missile program.

Its ​quarterly profit came in at $7.89 per share, compared with analysts' estimate of $7.18 per share.

Over the last few weeks, personal assistants like Instinct, Fo, and Muse have enabled users to call businesses for customer support and appointment booking. Following this trend, Yelp is adding the ability for its app users to get a voice agent to call a restaurant to check wait times.

The new feature, Check for Me, will show up on restaurant pages in the app, where users can enter their party size and phone number. The AI agent then calls on behalf of the user to check wait times and texts them the results to decide if they want to go to that particular restaurant.

Last year, Yelp debuted its voice solution for restaurants and service providers. With this new feature, the discovery platform is fulfilling the consumer side of the equation, though there is a possibility that a user’s agent will talk to the restaurant’s agent, and agent-to-agent communication might break down the conversation.

Image Credits: YelpImage Credits:Yelp
The company is also updating its Yelp AI assistant that helps users discover restaurants and services. With the new OpenTable integration, users can easily book a restaurant without leaving the app.

Yelp is adding better personalization to its assistant by having it remember preferences that you might have mentioned in previous chats. Plus, you can access your chat history from the past 30 days in the app, with full history available soon.

Users can ask the chatbot to set custom reminders, such as sending suggestions for weekend activities every Friday. The company is also letting users build their own lists, starting with two “Been Here” and “Want to
Go” lists. You can filter your lists by location, category, and cuisine, reorder, add notes to items, and share them with others.

Next month, the company will start showing weekly personalized recommendations based on your saved items and rankings. Yelp is also working on converting collections to lists and giving the lists tab a new look, rolling out later in the year, along with a maps view.

Image Credits: YelpImage Credits:Yelp
To cap off all these changes, Yelp has been thinking about enhancing customer support and business processes through AI. In the new update, the company is releasing a new paid product called Smart Lead Reply, which can reply to customers and engage with them to qualify a lead. Business owners, who will be charged $30 per month for these services, can specify how an agent should handle a conversation with a customer. Other companies like Meta have also been courting small businesses with AI offerings to handle inbound customer inquiries.

When you purchase through links in our articles, we may earn a small commission. This doesn’t affect our editorial independence.

Ivan covers global consumer tech developments at TechCrunch. He is based out of India and has previously worked at publications including Huffington Post and The Next Web.

You can contact or verify outreach from Ivan by emailing [email protected] or via encrypted message at ivan.42 on Signal.

AGCO to explore Digit robot use in manufacturing operation for repetitive, hazardous tasks.

, /PRNewswire/ -- AGCO (NYSE: AGCO) and Agility Robotics, a leading humanoid robotics and physical AI company, have signed a commercial agreement to advance the future of manufacturing through AI-powered humanoid automation. The U.S. pilot, expected to begin in 2027, will support AGCO's efforts to create more flexible, intelligent factories, beginning at AGCO's Hesston, Kansas, production facility.

Agility Robotics’ Digit humanoid robot is designed to perform repetitive, physically demanding tasks in human-centric work environments. AGCO plans to pilot Digit at its Hesston, Kansas, manufacturing facility beginning in 2027, initially supporting parts sorting and stacking and the placement of totes for storage. Agility Robotics' Digit® robot will initially support key assembly and production operations including parts sorting and stacking, and intelligent placement of totes for storage. By automating repetitive and physically demanding tasks, the robot will help enhance ergonomic safety, improve operational efficiency and empower employees to focus on higher-value, skill-driven work that advances innovation and productivity.

"This strategic relationship views humanoid robotics and AI as essential 'teammates' in building flexible, intelligent factories," said Thomas Enghof, AGCO's Director of Manufacturing Technology. "They unlock automation in complex, human-centric workflows, augmenting human capabilities by absorbing repetitive, strenuous or hazardous tasks. By pairing human ingenuity with robust robotic engineering and strict safety governance, we create resilient manufacturing systems that empower the workforce and deliver measurable business value."

AGCO joins a growing number of global leading companies deploying Agility's humanoid robots, including Toyota, GXO and Schaeffler.

"We're excited to work alongside AGCO as they continue to lead the way in agricultural innovation," said Daniel Diez, Chief Business Officer of Agility Robotics. "By introducing Agility's Digit humanoid robots into AGCO's operations, we have an opportunity to strengthen manufacturing processes, support employees in demanding tasks and demonstrate how advanced robotics can create measurable impact across modern production environments."

Powered by advanced artificial intelligence, Digit continuously learns and adapts to evolving workflows, enabling greater operational flexibility and improved productivity. When paired with Agility Arc™, Agility Robotics' cloud-based platform for deploying and managing robot fleets, companies can rapidly integrate automation into essential operations without requiring extensive infrastructure changes or costly facility upgrades.

Agility, the Agility logo, Digit, Agility Arc, RoboFab, and Made for Work are trademarks of Agility Robotics, Inc. Third-party trademarks are the property of their respective owners.

About AGCO
AGCO (NYSE: AGCO) is a global leader in agricultural machinery and precision agriculture technologies. Driven by a Farmer-First strategy, AGCO delivers value through its differentiated leading brands, Fendt™, Massey Ferguson™, PTx™ and Valtra™. AGCO's high-performance equipment and smart farming solutions, including brand-agnostic retrofit technologies and autonomous offerings, empower farmers to drive productivity while sustainably feeding the world. For more information, visit www.agcocorp.com.  

About Agility Robotics
Headquartered in Salem, Oregon, with offices in Pittsburgh, Pennsylvania and Fremont, California, Agility Robotics' mission is to build robot partners that augment the human workforce. Agility's groundbreaking general-purpose humanoid robot, Digit, is the first multi-purpose, human-centric robot that is Made for Work® and commercially deployed today. With more than 65,000 hours of real-world operation combined with industry-leading safety standards, we're pioneering a new era of automation that enhances human potential. To learn more, visit agilityrobotics.com.

SOURCE AGCO Corporation

 | Source:

Vicor Corporation

ANDOVER, Mass., Oct. 20, 2026 (GLOBE NEWSWIRE) -- Vicor Corporation (NASDAQ: VICR) today reported financial results for the third quarter ended September 30, 2026. These results will be discussed at 8:00 a.m. Eastern Time, during management’s quarterly investor conference call. The details for the call are below.

Product and royalty revenues for the third quarter ended September 30, 2026 totaled $197.1 million, a 37.5% sequential increase from $143.4 million in the second quarter of 2026, and increased 78.5% from $110.4 million for the corresponding period a year ago.

Gross margin increased sequentially to $134.7 million for the third quarter of 2026, compared to $83.1 million for the second quarter of 2026, and increased from $63.5 million for the corresponding period a year ago. Gross margin, as a percentage of revenue, increased to 68.3% for the third quarter of 2026, compared to 58.0% for the second quarter of 2026, and increased from 57.5% for the corresponding period a year ago. Operating expenses, including contingency fees to law firms enforcing Vicor IP, increased sequentially to $62.5 million for the third quarter of 2026, compared to $48.2 million for the second quarter of 2026, and increased from $42.6 million for the corresponding period a year ago.

Net income for the third quarter was $63.3 million, or $1.33 per diluted share, compared to net income of $49.8 million, or $1.04 per diluted share, for the second quarter of 2026 and net income of $28.3 million or $0.63 per diluted share, for the corresponding period a year ago.

Cash flow from operations totaled $69.7 million for the third quarter, compared to cash flow from operations of $34.0 million in the second quarter of 2026, and cash flow from operations of $38.5 million for the corresponding period a year ago. Capital expenditures for the third quarter totaled $16.1 million, compared to $11.2 million for the second quarter of 2026 and $4.0 million for the corresponding period a year ago. Cash and cash equivalents as of September 30, 2026 increased 13.1% sequentially to approximately $513.1 million compared to approximately $453.6 million as of June 30, 2026.

Backlog for the third quarter ended September 30, 2026 totaled $406 million, a 7% sequential increase from $380 million at the end of the second quarter of 2026, and increased 166% from $153 million for the corresponding period a year ago.

Commenting on recent developments, CEO Dr. Patrizio Vinciarelli stated: “With the purchase of two additional sites within 30 miles of ChiP Fab-1 in Andover, we will be able to provide a nearly 5X increase in capacity from 3 Fabs, relative to Fab-1. Capacity expansion is necessary in view of demand and industry trends.

Open Compute confirmed the challenges of VRs and IVRs. In addition to infringing patents to 1st GEN VPD, VRs and IVRs face electrical, mechanical and thermal barriers to escalating AI processor requirements. In private presentations and lab sessions with OEMs and Hyperscalers, we demonstrated the distinct advantages of Vicor’s 2nd GEN VPD. Participants paid attention, providing positive feedback and interest in engaging. The stage is set for broader adoption of high performance ALL-FPA current multiplier modules which enable 2nd GEN VPD.

On the licensing front, we granted our first VPD license to an AI OEM at Stage-2 unit royalty rates. Unlicensed OEMs and Hyperscalers may not have realized the implications of importing, or planning to import, computing systems infringing Vicor patents to VPD. The ITC decision to institute an investigation into VPD infringement is catching their attention, prompting inquiries about licenses at royalty rates that strongly favor early adopters."

For more information on Vicor and its products, please visit the Company’s website at www.vicorpower.com.

Earnings Conference Call

Vicor will be holding its investor conference call today, Tuesday, October 20, 2026 at 8:00 a.m. Eastern Time. Vicor encourages investors and analysts who intend to ask questions via the conference call to register with Notified, the service provider hosting the conference call. Those registering on Notified’s website will receive dial-in info and a unique PIN to join the call as well as an email confirmation with the details. Registration may be completed at any time prior to 8:00 a.m. on October 20, 2026. For those parties interested in listen-only mode, the conference call will be webcast via a link that will be posted on the Investor Relations page of Vicor's website prior to the conference call. Please access the website at least 15 minutes prior to the conference call to register and, if necessary, download and install any required software. For those who cannot participate in the live conference call, a webcast replay of the conference call will also be available on the Investor Relations page of Vicor's website.

This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Any statement in this press release that is not a statement of historical fact is a forward-looking statement, and, the words “believes,” “expects,” “anticipates,” “intends,” “estimates,” “plans,” “assumes,” “may,” “will,” “would,” “should,” “continue,” “prospective,” “project,” and other similar expressions identify forward-looking statements. Forward-looking statements also include statements regarding bookings, shipments, revenue, profitability, targeted markets, increase in manufacturing capacity and utilization thereof, future products and capital resources. These statements are based upon management’s current expectations and estimates as to the prospective events and circumstances that may or may not be within the company’s control and as to which there can be no assurance. Actual results could differ materially from those projected in the forward-looking statements as a result of various factors, including those economic, business, operational and financial considerations set forth in Vicor’s Annual Report on Form 10-K for the year ended December 31, 2025, under Part I, Item I — “Business,” under Part I, Item 1A — “Risk Factors,” under Part I, Item 3 — “Legal Proceedings,” and under Part II, Item 7 — “Management’s Discussion and Analysis of Financial Condition and Results of Operations.” The risk factors set forth in the Annual Report on Form 10-K may not be exhaustive. Therefore, the information contained in the Annual Report on Form 10-K should be read together with other reports and documents filed with the Securities and Exchange Commission from time to time, including Forms 10-Q, 8-K and 10-K, which may supplement, modify, supersede or update those risk factors. Vicor does not undertake any obligation to update any forward-looking statements as a result of future events or developments.

Vicor designs, manufactures and markets modular power components and complete power systems based upon a portfolio of patented technologies. Vicor licenses its patents to OEMs and hyper-scalers needing supply chain assurance, flexibility and scalability. Headquartered in Andover, Massachusetts, Vicor modules and power system technology are used in high performance computing, industrial, transportation, aerospace and defense.

   For further information contact:

        James F. Schmidt, Chief Financial Officer
Office: (978) 470-2900
Email: [email protected]

VICOR CORPORATION               CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS    (Thousands except for per share amounts)                QUARTER ENDED NINE MONTHS ENDED (Unaudited) (Unaudited)         SEPT 30, SEPT 30, SEPT 30, SEPT 30, 2026
 2025
 2026
 2025
                Product revenue$ 130,501 $ 88,698  $ 341,431 $ 257,597Royalty revenue 66,613  21,725   112,004  42,840   Total net revenues 197,114  110,423   453,435  300,437Patent litigation settlement                      -                      -                       -  45,000   Total net revenues and patent litigation settlement 197,114  110,423   453,435  345,437Cost of product revenues 62,434  46,910   173,269  145,431         Gross margin 134,680  63,513   280,166  200,006        Operating expenses:                 Selling, general and administrative 38,563  22,747   89,356  75,836          Research and development 23,969  19,859   66,900  58,027             Total operating expenses 62,532  42,606   156,256  133,863        Income from operations 72,148  20,907   123,910  66,143        Other income (expense), net 6,585  2,407   14,149  9,198        Income before income taxes 78,733  23,314   138,059  75,341        Less: Provision (benefit) for income taxes 15,401  (4,988)  4,265  3,278        Consolidated net income 63,332  28,302   133,794  72,063        Less: Net income attributable to          noncontrolling interest 11  10   37  40        Net income attributable to         Vicor Corporation$63,321 $28,292  $133,757 $72,023                Net income per share attributable         to Vicor Corporation:                  Basic$1.37 $0.63  $2.92 $1.60           Diluted$1.33 $0.63  $2.81 $1.59        Shares outstanding:                  Basic 46,129  44,734   45,845  44,986           Diluted 47,609  44,930   47,524  45,167         VICOR CORPORATION         CONDENSED CONSOLIDATED BALANCE SHEET    (Thousands)               SEPT 30, DEC 31,  2026
 2025
  (Unaudited) (Unaudited) Assets         Current assets:            Cash and cash equivalents$ 513,137  $ 402,805          Accounts receivable, net 122,488   60,716          Inventories 110,922   91,340          Other current assets 13,594   32,502                    Total current assets 760,141   587,363       Long-term deferred tax assets 23,439   27,463  Long-term investment, net -   2,462  Property, plant and equipment, net  177,987   147,690  Other assets 20,053   20,853                         Total assets$ 981,620  $ 785,831       Liabilities and Equity         Current liabilities:            Accounts payable$ 24,334  $ 12,290          Accrued compensation and benefits 14,047   12,031          Accrued expenses 22,223   3,691          Accrued litigation -   28,275          Sales allowances 3,512   3,136          Short-term lease liabilities 1,733   1,568          Income taxes payable 208   904          Short-term deferred revenue and customer prepayments  418   3,426                        Total current liabilities 66,475   65,321       Long-term income taxes payable 3,143   3,086  Long-term lease liabilities  5,427   5,608                   Total liabilities 75,045   74,015       Equity:      Vicor Corporation stockholders' equity:            Capital stock 518,247   462,805          Retained earnings 555,116   421,359          Accumulated other comprehensive loss (1,174)  (1,672)         Treasury stock (165,909)  (170,935)              Total Vicor Corporation stockholders' equity 906,280   711,557    Noncontrolling interest 295   259          Total equity 906,575   711,816                         Total liabilities and equity$ 981,620  $ 785,831       

RICHMOND, Va.--(BUSINESS WIRE)--Atlantic Union Bankshares Corporation (the “Company” or “Atlantic Union”) (NYSE: AUB) reported net income available to common shareholders of $133.7 million and basic and diluted earnings per common share of $0.95 and $0.94, respectively, for the third quarter of 2026 and adjusted operating earnings available to common shareholders(+) of $135.6 million and adjusted diluted operating earnings per common share(+) of $0.96 for the third quarter of 2026.

“Atlantic Union delivered a solid third quarter, with healthy loan growth, strong credit quality and continued progress in expanding our earnings capacity,” said John C. Asbury, president and chief executive officer of Atlantic Union. “Excluding the expense associated with the redemption of our subordinated debt, our operating performance demonstrates the earnings power we have built over many years, which we believe positions us to deliver differentiated financial performance relative to our peers.”

“Atlantic Union is a story of transformation from a Virginia community bank into the largest regional bank headquartered in the lower Mid-Atlantic, with operations across Virginia and Maryland and a growing presence in North Carolina. Guided by our priorities of soundness, profitability and growth—in that order—we remain focused on sustainable, profitable growth and long-term value creation for our shareholders.”

STRATEGIC ACTIONS

Subordinated Debt

During the third quarter of 2026, the Company issued $250.0 million in aggregate principal amount of its 6.25% Fixed-to-Floating Rate Subordinated Notes due August 1, 2036 (the “2036 Subordinated Notes”). The 2036 Subordinated Notes convert to a floating rate equal to the three-month term Secured Overnight Financing Rate, plus a spread of 213 basis points on August 1, 2031. Net proceeds from the issuance, after underwriting discounts and offering expenses, were approximately $246.8 million.

The Company used the net proceeds to redeem the $168.0 million principal amount of its outstanding 4.25% Fixed-to-Floating Rate Subordinated Notes due 2029 (the “2029 Subordinated Notes”), plus accrued interest, and for general corporate purposes. The 2029 Subordinated Notes transitioned to a floating interest rate on November 15, 2024, and had a rate of 6.53% at the time of redemption. As a result of the redemption, the Company recognized a $2.7 million pre-tax loss on debt extinguishment in the third quarter of 2026, recorded within non-interest expense, reflecting the acceleration of acquisition-related fair value marks associated with the 2029 Subordinated Notes.

Share Repurchase Program

On May 5, 2026, the Company’s Board of Directors authorized a $250.0 million share repurchase program (the “Repurchase Program”) through May 5, 2027 in open market transactions or privately negotiated transactions, including pursuant to a trading plan in accordance with Rule 10b5-1 and/or Rule 10b-18 under the Securities Exchange Act of 1934, as amended. During the third quarter of 2026, the Company repurchased approximately 1.5 million shares (or $62.5 million), at an average price of $41.38 per share. At September 30, 2026, approximately $177.5 million remained available under the Repurchase Program for future repurchases.

NET INTEREST INCOME

For the third quarter of 2026, net interest income was $328.4 million, an increase of $3.3 million from $325.1 million in the second quarter of 2026. Net interest income - fully taxable equivalent (“FTE”)(+) was $333.1 million in the third quarter of 2026, an increase of $3.4 million from $329.7 million in the second quarter of 2026. The increases from the prior quarter in both net interest income and net interest income (FTE)(+) were driven primarily by higher interest income on loans held for investment (“LHFI”), reflecting loan growth and increased loan accretion income. The aforementioned increases were partially offset by higher deposit interest expense, primarily resulting from increased costs on customer interest-bearing deposits, higher brokered deposit costs, and higher borrowing costs from both short-term and long-term borrowings. Long-term borrowing costs increased primarily due to the overlapping periods in which both the 2029 and 2036 Subordinated Notes were outstanding, as well as the larger principal amount of the 2036 Subordinated Notes.

For the third quarter of 2026, the Company’s net interest margin decreased 7 basis points from the prior quarter to 3.82%. Net interest margin (FTE)(+) decreased 6 basis points from the prior quarter to 3.88%. The decreases were driven primarily by a higher cost of funds which increased 7 basis points to 2.01% compared to the second quarter of 2026, primarily due to increased costs on interest-bearing customer deposits and higher brokered deposit costs. The yield on total earning assets (FTE)(+) was 5.89% for the third quarter of 2026, an increase of 1 basis point from the prior quarter, driven by higher loan balances and loan accretion income.

The Company’s net interest margin (FTE)(+) includes the impact of acquisition accounting fair value adjustments. Net accretion income for the quarter ended September 30, 2026 was $40.9 million, compared to $39.9 million for the quarter ended June 30, 2026. The impact of accretion and amortization for the periods presented is reflected in the following table (dollars in thousands):

Loan

Deposit

Borrowings

Accretion

Accretion

Amortization

Total

For the quarter ended June 30, 2026

$

40,449

$

111

$

(621)

$

39,939

For the quarter ended September 30, 2026

41,298

19

(452)

40,865

ASSET QUALITY

Overview

At September 30, 2026, nonperforming assets (“NPAs”) as a percentage of total LHFI was 0.37%, a decrease of 2 basis points from June 30, 2026 and a decrease of 12 basis points from September 30, 2025, which was primarily driven by lower new nonaccruals in the current quarter. Accruing past due loans as a percentage of total LHFI totaled 0.34% at September 30, 2026, an increase of 6 basis points from June 30, 2026, and an increase of 7 basis points from September 30, 2025. Net charge-offs were 0.03% of total average LHFI (annualized) for the third quarter of 2026, unchanged from the second quarter of 2026, and a decrease of 53 basis points compared to the third quarter of 2025, which was primarily driven by charge-offs of two commercial and industrial loans in the third quarter of 2025. The allowance for credit losses (“ACL”) totaled $334.2 million at September 30, 2026, a $3.3 million increase from the prior quarter.

Nonperforming Assets

The following table shows a summary of NPA balances at the quarters ended (dollars in thousands):

September 30,

June 30,

March 31,

December 31,

September 30,

2026

2026

2026

2025

2025

Nonaccrual loans

$

106,509

$

110,926

$

97,828

$

115,051

$

131,240

Foreclosed properties

1,964

1,756

1,856

1,826

2,001

Total nonperforming assets

$

108,473

$

112,682

$

99,684

$

116,877

$

133,241

The following table shows the activity in nonaccrual loans for the quarters ended (dollars in thousands):

September 30,

June 30,

March 31,

December 31,

September 30,

2026

2026

2026

2025

2025

Beginning Balance

$

110,926

$

97,828

$

115,051

$

131,240

$

162,615

Net customer payments and other activity (1)

(8,683

)

(9,330

)

(33,934

)

(21,667

)

(17,947

)

Additions (1)

6,220

24,283

17,679

7,816

25,333

Charge-offs

(1,746

)

(1,855

)

(909

)

(2,307

)

(37,410

)

Loans returning to accruing status

—

—

—

(31

)

(77

)

Transfers to foreclosed property

(208

)

—

(59

)

—

(1,274

)

Ending Balance

$

106,509

$

110,926

$

97,828

$

115,051

$

131,240

Past Due Loans

At September 30, 2026, past due loans still accruing interest totaled $98.9 million or 0.34% of total LHFI, compared to $80.4 million or 0.28% of total LHFI at June 30, 2026, and $74.2 million or 0.27% of total LHFI at September 30, 2025. The increase in past due loans from the prior quarter was primarily within commercial real estate – non-owner occupied, commercial and industrial, and commercial real estate – owner occupied loan portfolios.

Allowance for Credit Losses

At September 30, 2026, the ACL was $334.2 million, comprised of an allowance for loan and lease losses (“ALLL”) of $301.4 million and a reserve for unfunded commitments (“RUC”) of $32.8 million. The ACL increased $3.3 million from the prior quarter, primarily reflecting the impact of loan growth during the third quarter of 2026. At September 30, 2026, the ALLL and ACL represented 1.03% and 1.14% of total LHFI, respectively, compared to 1.04% and 1.15% at June 30, 2026. The RUC coverage ratio was 0.11% at September 30, 2026, consistent with the prior quarter.

Net Charge-offs

Net charge-offs were $2.3 million or 0.03% of total average LHFI on an annualized basis for the third quarter of 2026, compared to $2.0 million or 0.03% (annualized) for the second quarter of 2026, and $38.6 million or 0.56% (annualized) for the third quarter of 2025. The decrease in net charge-offs for the third quarter of 2026 compared to the prior year was primarily due to the charge-offs of two commercial and industrial loans that were recorded in the third quarter of 2025 and had been partially reserved for previously.

Provision for Credit Losses

For the third quarter of 2026, the Company recorded a provision for credit losses of $5.7 million, compared to $11.7 million in the prior quarter, and $16.2 million in the third quarter of 2025. The decrease in the provision for credit losses compared to the prior quarter primarily reflected lower reserve requirements associated with a modest decline in the allowance coverage ratio, as well as slower loan growth relative to the second quarter of 2026. The decrease in the provision for credit losses compared to the third quarter of 2025 was primarily attributable to the charge-offs of two commercial and industrial loans that were recorded in the third quarter of 2025 and had been partially reserved for previously.

NONINTEREST INCOME

Noninterest income decreased $35.4 million to $54.8 million for the third quarter of 2026 from $90.2 million in the prior quarter, primarily driven by a $32.3 million pre-tax gain on the sale of the Company’s equity interest in Bearing Insurance Group, LLC (“Bearing Insurance”) recognized during the second quarter of 2026.

Adjusted operating noninterest income(+), which excludes the pre-tax gain on sale of equity interest in Bearing Insurance ($32.3 million in the second quarter of 2026) and the pre-tax gains on sale of securities ($10 thousand in the third quarter of 2026 and $4 thousand in the second quarter of 2026), decreased $3.1 million to $54.8 million, compared to $57.9 million in the prior quarter. This decrease was primarily due to a $2.0 million decline in loan-related interest rate swap fees driven by lower transaction volumes, a $1.1 million decrease in mortgage banking income due to lower mortgage origination volumes and lower gain on sale margins, and a $1.0 million decrease in fiduciary and asset management fees.

NONINTEREST EXPENSE

Noninterest expense increased $5.2 million to $204.3 million for the third quarter of 2026 from $199.1 million in the prior quarter, primarily driven by the $2.7 million pre-tax loss on debt extinguishment recognized in the third quarter of 2026.

Adjusted operating noninterest expense(+), which excludes the pre-tax loss on debt extinguishment ($2.7 million in the third quarter of 2026) and amortization of intangible assets ($14.9 million in the third quarter of 2026 and $15.1 million in the second quarter of 2026), increased $2.7 million to $186.7 million, compared to $184.0 million in the prior quarter. This increase was primarily due to a $2.6 million seasonal increase in marketing and advertising expense, a $1.7 million increase in salaries and benefits expense, primarily due to an increase in variable incentive compensation expense and additional full-time equivalent employees associated with the Company’s North Carolina expansion, and a $1.5 million increase in technology and data processing expense, primarily reflecting ongoing investments in strategic technology initiatives and related software maintenance costs. These increases were partially offset by a $3.4 million decrease in other expenses, primarily driven by gains on the sales of other real estate owned during the third quarter of 2026.

INCOME TAXES

The Company’s effective tax rate was 21.1% for the quarter ended September 30, 2026, compared to 20.8% for the quarter ended September 30, 2025. For the nine months ended September 30, 2026 and September 30, 2025, the effective tax rates were 21.1% and 17.2%, respectively. The increase in the effective tax rate for the nine months ended September 30, 2026 was primarily due to a $7.7 million income tax benefit recognized in the second quarter of 2025 related to the re-evaluation of the Company’s state net deferred tax asset following the Sandy Spring acquisition, as well as an overall increase in the proportion of taxable income to tax-exempt income.

KEY BALANCE SHEET COMPONENTS AND CAPITAL RATIOS

The following tables summarize the Company’s key balance sheet components and capital ratios as of the dates presented (dollars in millions, except per share data):

9/30/2026

6/30/2026

QoQ

QoQ %
change(1)

9/30/2025

YoY

YoY %
change

(unaudited)

(unaudited)

(unaudited)

Assets

$

38,352

$

38,100

$

252

2.62

%

$

37,073

$

1,279

3.45

%

Cash and cash equivalents

701

990

(289)

(115.82)

%

795

(94)

(11.82)

%

LHFI (net of unearned income)

29,297

28,673

624

8.63

%

27,361

1,936

7.08

%

Quarterly Average LHFI (net of unearned income)

28,928

28,244

684

9.61

%

27,386

1,542

5.63

%

Total Securities

4,784

4,942

(158)

(12.68)

%

5,311

(527)

(9.92)

%

Securities available for sale ("AFS")

3,749

3,877

(128)

(13.10)

%

4,268

(519)

(12.16)

%

Securities held to maturity ("HTM")

845

861

(16)

(7.37)

%

884

(39)

(4.41)

%

Restricted Stock, at cost

190

204

(14)

(27.23)

%

159

31

19.50

%

Deposits

30,966

30,468

498

6.48

%

30,665

301

0.98

%

Quarterly Average Deposits

30,508

30,391

117

1.53

%

31,032

(524)

(1.69)

%

Borrowings

1,622

1,881

(259)

(54.63)

%

860

762

88.60

%

Quarterly Average Borrowings

1,717

1,371

346

100.13

%

869

848

97.58

%

Cash dividends paid per common share

$

0.37

$

0.37

$

—

—

%

$

0.34

$

0.03

8.82

%

Dividends on each share of Series A preferred stock (2)

$

171.88

$

171.88

$

—

—

%

$

171.88

$

—

—

%

9/30/2026

6/30/2026

9/30/2025

Common equity Tier 1 capital ratio (3)

10.39

%

10.41

%

9.92

%

Tier 1 capital ratio (3)

10.91

%

10.94

%

10.46

%

Total capital ratio (3)

14.55

%

14.15

%

13.81

%

Leverage ratio (Tier 1 capital to average assets) (3)

9.59

%

9.62

%

8.92

%

Common equity to total assets

12.74

%

13.09

%

12.81

%

Tangible common equity to tangible assets (+)

7.87

%

8.17

%

7.69

%

The key drivers of the consolidated balance sheet changes for the periods presented are summarized below:

Total assets increased from the prior quarter primarily due to increases in LHFI, partially offset by a decrease in cash and cash equivalents. Total assets increased from the same period in the prior year primarily due to an increase in LHFI, partially offset by a decrease in total securities. LHFI and quarterly average LHFI increased compared to both June 30, 2026 and September 30, 2025. The increase in LHFI from the prior quarter was primarily due to higher balances in the commercial and industrial, other commercial, and construction and land development loan portfolios. The increase in LHFI from the same period in the prior year was primarily due to increases in commercial and industrial, commercial real estate – non-owner occupied, and other commercial portfolios. Total securities decreased from June 30, 2026, primarily reflecting the impact of higher market interest rates on the fair value of AFS securities, with the related unrealized losses reflected in accumulated other comprehensive income (“AOCI”). Total securities decreased from September 30, 2025 primarily due to principal repayments of AFS mortgage-backed securities and the impact of higher market interest rates on the fair value of AFS securities. Common equity to total assets and tangible common equity to tangible assets decreased from June 30, 2026, as the negative impact of changes in AOCI associated with higher market interest rates and lower fair values of AFS securities more than offset capital generated through earnings during the quarter. Total deposits and quarterly average deposits increased from the prior quarter due to increases in brokered and demand deposits, partially offset by a decrease in interest-bearing customer deposits. Compared to the same period in the prior year, total deposits increased due to higher interest-bearing deposits, partially offset by lower demand deposits. Total borrowings decreased from June 30, 2026 and increased from September 30, 2025. The decrease from the prior quarter was primarily due to decreases in Federal Home Loan Bank (“FHLB”) advances, partially offset by an increase in long-term borrowings due to the net impact of the 2036 Subordinated Notes issuance and 2029 Subordinated Notes redemption. The increase from the same period in the prior year was primarily due to increases in FHLB advances and an increase in long-term borrowings due to the Subordinated Notes activity noted above. Since the inception of the Repurchase Program authorized on May 5, 2026, the Company has repurchased approximately 1.8 million shares for $72.5 million at an average price of $40.84 per share. As of September 30, 2026, approximately $177.5 million remained available under the Repurchase Program for future share repurchases. ABOUT ATLANTIC UNION BANKSHARES CORPORATION

Headquartered in Richmond, Virginia, Atlantic Union Bankshares Corporation (NYSE: AUB) is the holding company for Atlantic Union Bank. Atlantic Union Bank has branches and ATMs located in Virginia, Maryland, North Carolina and Washington, D.C. Certain non-bank financial services affiliates of Atlantic Union Bank include: Atlantic Union Equipment Finance, Inc., which provides equipment financing; AUB Investments, Inc., which provides investment services; and Atlantic Union Capital Markets, Inc., which provides capital market services.

THIRD QUARTER 2026 EARNINGS RELEASE CONFERENCE CALL

The Company will hold a conference call and webcast for investors at 9:00 a.m. Eastern Time on Tuesday, October 20, 2026, during which management will review our financial results for the third quarter of 2026 and provide an update on our recent activities.

The listen-only webcast and the accompanying slides can be accessed at: https://edge.media-server.com/mmc/p/gb9rrzsf.

For analysts who wish to participate in the conference call, please register at the following URL: https://register-conf.media-server.com/register/BI45511d3d3f0e45e98658c057c5f2478a.

To participate in the conference call, you must use the link to receive an audio dial-in number and an Access PIN.

A replay of the webcast, and the accompanying slides, will be available on the Company’s website for 90 days at: https://investors.atlanticunionbank.com/.

NON-GAAP FINANCIAL MEASURES

In reporting the results as of and for the period ended September 30, 2026, we have provided supplemental performance measures determined by methods other than in accordance with GAAP. These non-GAAP financial measures are a supplement to GAAP, which we use to prepare our financial statements, and should not be considered in isolation or as a substitute for comparable measures calculated in accordance with GAAP. In addition, our non-GAAP financial measures may not be comparable to non-GAAP financial measures of other companies. We use the non-GAAP financial measures discussed herein in our analysis of our performance. Management believes that these non-GAAP financial measures provide additional understanding of our ongoing operations, enhance the comparability of our results of operations with prior periods and show the effects of significant gains and charges in the periods presented without the impact of items or events that may obscure trends in our underlying performance. Non-GAAP financial measures may be identified with the symbol (+) and may be labeled as adjusted. For a reconciliation of these measures to their most directly comparable GAAP measures and additional information about these non-GAAP financial measures, see “Alternative Performance Measures (non-GAAP)” in the tables within the section “Key Financial Results.”

FORWARD-LOOKING STATEMENTS

This press release and statements by our management may constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that include, without limitation, statements made in Mr. Asbury’s quotations; statements regarding our strategic expansion into North Carolina, including our expectations regarding new branch openings; statements regarding our investments in strategic technology initiatives; statements regarding our business, financial and operating results, including our deposit base and funding; the impact of changes in economic conditions, the interest rate environment, economic, fiscal or trade policy and the potential related impacts on our business and loan demand; management’s beliefs regarding our liquidity, capital resources, asset quality, CRE loan portfolio and our customer relationships; and statements that include other projections, predictions, expectations, or beliefs about future events or results or otherwise are not statements of historical fact. Such forward-looking statements are based on certain assumptions as of the time they are made, and are inherently subject to known and unknown risks, uncertainties, and other factors, some of which cannot be predicted or quantified, that may cause actual results, performance, or achievements to be materially different from those expressed or implied by such forward-looking statements. Forward-looking statements are often characterized by the use of qualified words (and their derivatives) such as “expect,” “believe,” “estimate,” “plan,” “project,” “anticipate,” “intend,” “will,” “may,” “view,” “opportunity,” “seek to,” “potential,” “continue,” “confidence,” or words of similar meaning or other statements concerning opinions or judgment of the Company and our management about future events. Although we believe that our expectations with respect to forward-looking statements are based upon reasonable assumptions within the bounds of our existing knowledge of our business and operations, there can be no assurance that actual future results, performance, or achievements of, or trends affecting, us will not differ materially from any projected future results, performance, achievements or trends expressed or implied by such forward-looking statements. Actual future results, performance, achievements or trends may differ materially from historical results or those anticipated depending on a variety of factors, including, but not limited to, the effects of or changes in:

market interest rates and their related impacts on macroeconomic conditions, customer and client behavior, our funding costs and our loan and securities portfolios; economic conditions, including inflation and recessionary conditions and their related impacts on economic growth and customer and client behavior; U.S. and global trade policies and tensions, including changes in, or the imposition of, tariffs and/or trade barriers and the economic impacts, volatility and uncertainty resulting therefrom, and geopolitical instability; volatility in the financial services sector, including failures or rumors of failures of other depository institutions, along with actions taken by governmental agencies to address such turmoil, and the effects on the ability of depository institutions, including us, to attract and retain depositors and to borrow or raise capital; legislative or regulatory changes and requirements, including changes in federal, state or local tax laws and changes impacting the rulemaking, supervision, examination and enforcement priorities of the federal banking agencies; the sufficiency of liquidity and changes in our capital position; general economic and financial market conditions, in the United States generally and particularly in the markets in which we operate and which our loans are concentrated, including the effects of declines in real estate values, an increase in unemployment levels, U.S. fiscal debt, budget, and tax matters, U.S. government shutdowns, and slowdowns in economic growth; the possibility that the anticipated benefits of our acquisition activity, including anticipated cost savings and strategic gains, are not realized when expected or at all, including as a result of the strength of the economy, competitive factors in the areas where we do business, or as a result of other unexpected factors or events; potential adverse reactions or changes to business or employee relationships; our ability to identify, recruit and retain key employees; monetary, fiscal and regulatory policies of the U.S. government, including policies of the U.S. Department of the Treasury and the Federal Reserve; the quality or composition of our loan or investment portfolios and changes in these portfolios; demand for loan products and financial services in our market areas; our ability to manage our growth or implement our growth strategy; the effectiveness of expense reduction plans; the introduction of new lines of business or new products and services; real estate values in our lending area; changes in accounting principles, standards, rules, and interpretations, and the related impact on our financial statements; an insufficient ACL or volatility in the ACL resulting from the Current Expected Credit Losses (“CECL”) methodology, either alone or as that may be affected by changing economic conditions, credit concentrations, inflation, changing interest rates, or other factors; concentrations of loans secured by real estate, particularly CRE; the effectiveness of our credit processes and management of our credit risk; our ability to compete in the market for financial services and increased competition from fintech companies; technological risks and developments, and cyber threats, attacks, or events; emerging issues related to the development and use of artificial intelligence that could give rise to legal or regulatory action or increase the risk of a cybersecurity attack or the probability that such an attack would be successful; operational, technological, cultural, regulatory, legal, credit, and other risks associated with the exploration, consummation and integration of potential future acquisitions, whether involving stock or cash consideration; the potential adverse effects of unusual and infrequently occurring events, such as weather-related disasters, terrorist acts, geopolitical conflicts or public health events (such as pandemics), and of governmental and societal responses thereto; these potential adverse effects may include, without limitation, adverse effects on macroeconomic conditions, the ability of our borrowers to satisfy their obligations to us, on the value of collateral securing loans, on the demand for our loans or our other products and services, on supply chains and methods used to distribute products and services, on incidents of cyberattack and fraud, on our liquidity or capital positions, on risks posed by reliance on third-party service providers, on other aspects of our business operations and on financial markets and economic growth; performance by our counterparties or vendors; deposit flows; the availability of financing and the terms thereof; the level of prepayments on loans and mortgage-backed securities; actual or potential claims, damages, and fines related to litigation or government actions, which may result in, among other things, additional costs, fines, penalties, restrictions on our business activities, reputational harm, or other adverse consequences; any event or development that would cause us to conclude that there was an impairment of any asset, including intangible assets, such as goodwill; and other factors, many of which are beyond our control. Please also refer to such other factors as discussed throughout Part I, Item 1A. “Risk Factors” and Part II, Item 7. “Management’s Discussion and Analysis of Financial Condition and Results of Operations” of our Annual Report on Form 10‑K for the year ended December 31, 2025, and related disclosures in other filings, which have been filed with the U.S. Securities and Exchange Commission (“SEC”) and are available on the SEC’s website at www.sec.gov. All risk factors and uncertainties described herein and therein should be considered in evaluating forward-looking statements, and all the forward-looking statements are expressly qualified by the cautionary statements contained or referred to herein and therein. The actual results or developments anticipated may not be realized or, even if substantially realized, they may not have the expected consequences to or effects on the Company or our businesses or operations. Readers are cautioned not to rely too heavily on forward-looking statements. Forward-looking statements speak only as of the date they are made. We do not intend or assume any obligation to update, revise or clarify any forward-looking statements that may be made from time to time by or on behalf of the Company, whether as a result of new information, future events or otherwise, except as required by law.

ATLANTIC UNION BANKSHARES CORPORATION AND SUBSIDIARIES

KEY FINANCIAL RESULTS (UNAUDITED)

(Dollars in thousands, except share data)

As of & For Three Months Ended

As of & For Nine Months Ended

9/30/26

6/30/26

9/30/25

9/30/26

9/30/25

Results of Operations

Interest and dividend income

$

501,133

$

486,828

$

503,437

$

1,459,695

$

1,319,645

Interest expense

172,711

161,710

184,227

493,782

494,900

Net interest income

328,422

325,118

319,210

965,913

824,745

Provision for credit losses

5,731

11,737

16,233

20,205

139,578

Net interest income after provision for credit losses

322,691

313,381

302,977

945,708

685,167

Noninterest income

54,792

90,248

51,751

199,823

162,436

Noninterest expense

204,333

199,136

238,446

613,279

652,327

Income before income taxes

173,150

204,493

116,282

532,252

195,276

Income tax expense (benefit)

36,518

43,480

24,142

112,441

33,527

Net income

136,632

161,013

92,140

419,811

161,749

Dividends on preferred stock

2,967

2,967

2,967

8,901

8,901

Net income available to common shareholders

$

133,665

$

158,046

$

89,173

$

410,910

$

152,848

Interest earned on earning assets (FTE) (1)

$

505,826

$

491,389

$

507,856

$

1,473,501

$

1,332,184

Net interest income (FTE) (1)

333,115

329,679

323,629

979,719

837,284

Total revenue (FTE) (1)

387,907

419,927

375,380

1,179,542

999,720

Pre-tax pre-provision earnings (FTE) (1)

183,574

220,791

136,934

566,263

347,393

Key Ratios

Earnings per common share, diluted

$

0.94

$

1.11

$

0.63

$

2.89

$

1.22

Return on average assets (ROA)

1.43

%

1.73

%

0.98

%

1.49

%

0.65

%

Return on average equity (ROE)

10.54

%

12.60

%

7.51

%

10.98

%

5.06

%

Return on average tangible common equity (ROTCE) (2)(3)

19.59

%

23.42

%

15.51

%

20.56

%

10.81

%

Efficiency ratio

53.32

%

47.94

%

64.28

%

52.61

%

66.08

%

Efficiency ratio (FTE) (1)

52.68

%

47.42

%

63.52

%

51.99

%

65.25

%

Net interest margin

3.82

%

3.89

%

3.77

%

3.84

%

3.68

%

Net interest margin (FTE) (1)

3.88

%

3.94

%

3.83

%

3.89

%

3.73

%

Yields on earning assets (FTE) (1)

5.89

%

5.88

%

6.00

%

5.85

%

5.94

%

Average cost of interest-bearing liabilities

2.68

%

2.59

%

2.93

%

2.62

%

2.96

%

Average cost of deposits

2.00

%

1.93

%

2.18

%

1.94

%

2.22

%

Average cost of funds

2.01

%

1.94

%

2.17

%

1.96

%

2.21

%

Operating Measures (4)

Adjusted operating earnings

$

138,601

$

136,987

$

122,693

$

404,709

$

315,343

Adjusted operating earnings available to common shareholders

135,634

134,020

119,726

395,808

306,442

Adjusted operating pre-tax pre-provision earnings (FTE) (1) (7)

186,218

188,437

176,547

545,585

440,913

Adjusted operating earnings per common share, diluted

$

0.96

$

0.94

$

0.84

$

2.79

$

2.46

Adjusted operating ROA

1.45

%

1.47

%

1.30

%

1.44

%

1.26

%

Adjusted operating ROE

10.69

%

10.72

%

10.00

%

10.58

%

9.86

%

Adjusted operating ROTCE (2)(3)

19.85

%

20.11

%

20.09

%

19.86

%

19.73

%

Adjusted operating efficiency ratio (FTE) (1)(6)

48.14

%

47.47

%

48.79

%

48.47

%

50.45

%

Per Share Data

Earnings per common share, basic

$

0.95

$

1.11

$

0.63

$

2.90

$

1.23

Earnings per common share, diluted

0.94

1.11

0.63

2.89

1.22

Cash dividends paid per common share

0.37

0.37

0.34

1.11

1.02

Market value per share

37.95

42.31

35.29

37.95

35.29

Book value per common share

34.78

35.14

33.52

34.78

33.52

Tangible book value per common share (2)

20.36

20.77

18.99

20.36

18.99

Price to earnings ratio, diluted

10.14

9.50

14.16

9.81

21.55

Price to book value per common share ratio

1.09

1.20

1.05

1.09

1.05

Price to tangible book value per common share ratio (2)

1.86

2.04

1.86

1.86

1.86

Unvested shares of restricted stock awards

462,710

481,488

885,686

462,710

885,686

Weighted average common shares outstanding, basic

141,293,231

142,099,251

141,728,909

141,762,468

124,402,891

Weighted average common shares outstanding, diluted

141,641,618

142,320,806

141,986,217

142,078,792

124,794,832

Common shares outstanding at end of period

140,445,286

141,924,165

141,732,071

140,445,286

141,732,071

ATLANTIC UNION BANKSHARES CORPORATION AND SUBSIDIARIES

KEY FINANCIAL RESULTS (UNAUDITED)

(Dollars in thousands, except share data)

As of & For Three Months Ended

As of & For Nine Months Ended

9/30/26

6/30/26

9/30/25

9/30/26

9/30/25

Capital Ratios

Common equity Tier 1 capital ratio (5)

10.39

%

10.41

%

9.92

%

10.39

%

9.92

%

Tier 1 capital ratio (5)

10.91

%

10.94

%

10.46

%

10.91

%

10.46

%

Total capital ratio (5)

14.55

%

14.15

%

13.81

%

14.55

%

13.81

%

Leverage ratio (Tier 1 capital to average assets) (5)

9.59

%

9.62

%

8.92

%

9.59

%

8.92

%

Common equity to total assets

12.74

%

13.09

%

12.81

%

12.74

%

12.81

%

Tangible common equity to tangible assets (2)

7.87

%

8.17

%

7.69

%

7.87

%

7.69

%

Financial Condition

Assets

$

38,351,665

$

38,099,868

$

37,072,733

$

38,351,665

$

37,072,733

LHFI (net of unearned income)

29,296,616

28,673,271

27,361,173

29,296,616

27,361,173

Securities

4,784,392

4,941,974

5,310,629

4,784,392

5,310,629

Earning Assets

34,350,279

34,110,112

33,151,873

34,350,279

33,151,873

Goodwill

1,754,875

1,754,875

1,726,386

1,754,875

1,726,386

Amortizable intangibles, net

270,016

284,962

333,236

270,016

333,236

Deposits

30,965,529

30,468,257

30,665,324

30,965,529

30,665,324

Borrowings

1,622,403

1,881,340

860,312

1,622,403

860,312

Stockholders' equity

5,050,604

5,153,414

4,917,058

5,050,604

4,917,058

Tangible common equity (2)

2,859,356

2,947,220

2,691,079

2,859,356

2,691,079

Loans held for investment, net of unearned income

Construction and land development

$

2,025,385

$

1,859,217

$

2,163,182

$

2,025,385

$

2,163,182

Commercial real estate - owner occupied

4,356,099

4,308,292

4,335,919

4,356,099

4,335,919

Commercial real estate - non-owner occupied

7,275,895

7,303,555

6,805,302

7,275,895

6,805,302

Multifamily real estate

2,382,541

2,429,355

2,196,467

2,382,541

2,196,467

Commercial & Industrial

5,850,846

5,628,880

4,956,770

5,850,846

4,956,770

Residential 1-4 Family - Commercial

984,149

1,008,438

1,105,067

984,149

1,105,067

Residential 1-4 Family - Consumer

2,991,674

2,930,665

2,799,669

2,991,674

2,799,669

Residential 1-4 Family - Revolving

1,346,890

1,312,531

1,186,298

1,346,890

1,186,298

Auto

110,418

131,477

211,900

110,418

211,900

Consumer

107,158

110,909

121,620

107,158

121,620

Other Commercial

1,865,561

1,649,952

1,478,979

1,865,561

1,478,979

Total LHFI

$

29,296,616

$

28,673,271

$

27,361,173

$

29,296,616

$

27,361,173

Deposits

Interest checking accounts

$

7,844,500

$

7,812,504

$

6,916,702

$

7,844,500

$

6,916,702

Money market accounts

6,556,864

6,821,997

6,932,836

6,556,864

6,932,836

Savings accounts

2,723,123

2,567,073

2,882,897

2,723,123

2,882,897

Customer time deposits of more than $250,000

1,869,330

1,876,425

1,773,710

1,869,330

1,773,710

Customer time deposits of $250,000 or less

4,124,050

4,104,769

4,007,070

4,124,050

4,007,070

Time deposits

5,993,380

5,981,194

5,780,780

5,993,380

5,780,780

Total interest-bearing customer deposits

23,117,867

23,182,768

22,513,215

23,117,867

22,513,215

Brokered deposits

1,085,988

557,751

1,047,467

1,085,988

1,047,467

Total interest-bearing deposits

$

24,203,855

$

23,740,519

$

23,560,682

$

24,203,855

$

23,560,682

Demand deposits

6,761,674

6,727,738

7,104,642

6,761,674

7,104,642

Total deposits

$

30,965,529

$

30,468,257

$

30,665,324

$

30,965,529

$

30,665,324

Averages

Assets

$

37,975,963

$

37,433,973

$

37,377,383

$

37,557,572

$

33,378,378

LHFI (net of unearned income)

28,927,866

28,243,611

27,386,338

28,337,859

24,336,012

Loans held for sale

22,140

23,303

27,185

20,572

604,483

Securities

4,895,169

4,976,527

4,955,297

5,025,255

4,360,629

Earning assets

34,091,046

33,544,840

33,563,417

33,673,838

29,973,209

Deposits

30,507,775

30,390,719

31,031,655

30,370,700

27,619,076

Time deposits

6,422,120

6,086,936

6,283,031

6,184,345

5,856,307

Interest-bearing deposits

23,885,413

23,654,149

24,071,758

23,666,300

21,457,491

Borrowings

1,717,294

1,371,046

868,783

1,488,581

910,077

Interest-bearing liabilities

25,602,707

25,025,195

24,940,541

25,154,881

22,367,568

Stockholders' equity

5,144,943

5,125,495

4,866,989

5,113,117

4,276,987

Tangible common equity (2)

2,946,399

2,911,942

2,647,488

2,906,612

2,301,146

ATLANTIC UNION BANKSHARES CORPORATION AND SUBSIDIARIES

KEY FINANCIAL RESULTS (UNAUDITED)

(Dollars in thousands, except share data)

As of & For Three Months Ended

As of & For Nine Months Ended

9/30/26

6/30/26

9/30/25

9/30/26

9/30/25

Asset Quality

Allowance for Credit Losses (ACL)(8)

Beginning balance, Allowance for loan and lease losses (ALLL)

$

298,756

$

291,100

$

315,574

$

295,108

$

178,644

Add: Recoveries

2,276

1,327

1,847

4,911

4,368

Less: Charge-offs

4,547

3,313

40,440

10,761

45,905

Add: Initial Allowance - Purchased Credit Deteriorated (PCD) loans

—

—

—

—

28,265

Add: Initial Provision - Non-PCD loans

—

—

—

—

89,538

Add: Provision for loan losses

4,947

9,642

16,054

12,174

38,125

Ending balance, ALLL

$

301,432

$

298,756

$

293,035

$

301,432

$

293,035

Beginning balance, Reserve for unfunded commitments (RUC)

$

32,227

$

30,828

$

26,778

$

26,161

$

15,041

Add: Initial Provision - RUC acquired loans

—

—

—

—

11,425

Add: Provision for unfunded commitments

587

1,399

173

6,653

485

Ending balance, RUC

$

32,814

$

32,227

$

26,951

$

32,814

$

26,951

Total ACL

$

334,246

$

330,983

$

319,986

$

334,246

$

319,986

ACL / total LHFI

1.14

%

1.15

%

1.17

%

1.14

%

1.17

%

ALLL / total LHFI

1.03

%

1.04

%

1.07

%

1.03

%

1.07

%

Net charge-offs / total average LHFI (annualized)

0.03

%

0.03

%

0.56

%

0.03

%

0.23

%

Provision for loan losses/ total average LHFI (annualized)

0.07

%

0.14

%

0.23

%

0.06

%

0.70

%

Nonperforming Assets

Construction and land development

$

4,071

$

4,441

$

61,436

$

4,071

$

61,436

Commercial real estate - owner occupied

5,594

7,130

6,467

5,594

6,467

Commercial real estate - non-owner occupied

13,801

12,478

13,125

13,801

13,125

Multifamily real estate

20,529

23,399

1,583

20,529

1,583

Commercial & Industrial

30,397

31,423

9,193

30,397

9,193

Residential 1-4 Family - Commercial

1,778

2,115

6,615

1,778

6,615

Residential 1-4 Family - Consumer

24,169

24,117

23,623

24,169

23,623

Residential 1-4 Family - Revolving

4,379

4,983

5,444

4,379

5,444

Auto

297

374

556

297

556

Consumer

3

16

37

3

37

Other Commercial

1,491

450

3,161

1,491

3,161

Nonaccrual loans

$

106,509

$

110,926

$

131,240

$

106,509

$

131,240

Foreclosed property

1,964

1,756

2,001

1,964

2,001

Total nonperforming assets (NPAs)

$

108,473

$

112,682

$

133,241

$

108,473

$

133,241

Construction and land development

$

2,353

$

331

$

1,856

$

2,353

$

1,856

Commercial real estate - owner occupied

4,558

7,503

2,790

4,558

2,790

Commercial real estate - non-owner occupied

1,735

7,597

2,283

1,735

2,283

Multifamily real estate

3,541

3,541

2,088

3,541

2,088

Commercial & Industrial

1,904

2,250

1,005

1,904

1,005

Residential 1-4 Family - Commercial

557

362

2,570

557

2,570

Residential 1-4 Family - Consumer

7,549

5,954

2,955

7,549

2,955

Residential 1-4 Family - Revolving

5,170

4,319

1,816

5,170

1,816

Auto

317

219

348

317

348

Consumer

327

33

311

327

311

Other Commercial

4,141

1,616

—

4,141

—

LHFI ≥ 90 days and still accruing

$

32,152

$

33,725

$

18,022

$

32,152

$

18,022

Total NPAs and LHFI ≥ 90 days

$

140,625

$

146,407

$

151,263

$

140,625

$

151,263

NPAs / total LHFI

0.37

%

0.39

%

0.49

%

0.37

%

0.49

%

NPAs / total assets

0.28

%

0.30

%

0.36

%

0.28

%

0.36

%

ALLL / nonaccrual loans

283.01

%

269.33

%

223.28

%

283.01

%

223.28

%

ALLL/ nonperforming assets

277.89

%

265.13

%

219.93

%

277.89

%

219.93

%

ATLANTIC UNION BANKSHARES CORPORATION AND SUBSIDIARIES

KEY FINANCIAL RESULTS (UNAUDITED)

(Dollars in thousands, except share data)

As of & For Three Months Ended

As of & For Nine Months Ended

9/30/26

6/30/26

9/30/25

9/30/26

9/30/25

Past Due Detail

Construction and land development

$

474

$

593

$

1,387

$

474

$

1,387

Commercial real estate - owner occupied

13,431

9,636

5,346

13,431

5,346

Commercial real estate - non-owner occupied

8,729

474

4,295

8,729

4,295

Multifamily real estate

249

1,325

3,113

249

3,113

Commercial & Industrial

3,085

2,512

4,902

3,085

4,902

Residential 1-4 Family - Commercial

1,909

2,140

2,843

1,909

2,843

Residential 1-4 Family - Consumer

2,359

1,557

1,871

2,359

1,871

Residential 1-4 Family - Revolving

3,929

4,297

3,074

3,929

3,074

Auto

1,797

1,853

2,744

1,797

2,744

Consumer

226

310

329

226

329

Other Commercial

766

2,516

—

766

—

LHFI 30-59 days past due

$

36,954

$

27,213

$

29,904

$

36,954

$

29,904

Construction and land development

$

850

$

2,210

$

5,784

$

850

$

5,784

Commercial real estate - owner occupied

6,128

2,112

2,217

6,128

2,217

Commercial real estate - non-owner occupied

4,382

871

—

4,382

—

Multifamily real estate

—

732

2,553

—

2,553

Commercial & Industrial

6,523

1,830

8,397

6,523

8,397

Residential 1-4 Family - Commercial

558

1,111

803

558

803

Residential 1-4 Family - Consumer

6,101

6,985

3,320

6,101

3,320

Residential 1-4 Family - Revolving

2,090

1,732

2,162

2,090

2,162

Auto

635

465

867

635

867

Consumer

744

320

179

744

179

Other Commercial

1,826

1,051

—

1,826

—

LHFI 60-89 days past due

$

29,837

$

19,419

$

26,282

$

29,837

$

26,282

Past Due and still accruing

$

98,943

$

80,357

$

74,208

$

98,943

$

74,208

Past Due and still accruing / total LHFI

0.34

%

0.28

%

0.27

%

0.34

%

0.27

%

Alternative Performance Measures (non-GAAP)

Net interest income (FTE) (1)

Net interest income (GAAP)

$

328,422

$

325,118

$

319,210

$

965,913

$

824,745

FTE adjustment

4,693

4,561

4,419

13,806

12,539

Net interest income (FTE) (non-GAAP)

$

333,115

$

329,679

$

323,629

$

979,719

$

837,284

Noninterest income (GAAP)

54,792

90,248

51,751

199,823

162,436

Total revenue (FTE) (non-GAAP)

$

387,907

$

419,927

$

375,380

$

1,179,542

$

999,720

Less: Noninterest expense (GAAP)

204,333

199,136

238,446

613,279

652,327

Pre-tax pre-provision earnings (FTE) (non-GAAP)

$

183,574

$

220,791

$

136,934

$

566,263

$

347,393

Average earning assets

$

34,091,046

$

33,544,840

$

33,563,417

$

33,673,838

$

29,973,209

Net interest margin

3.82

%

3.89

%

3.77

%

3.84

%

3.68

%

Net interest margin (FTE)

3.88

%

3.94

%

3.83

%

3.89

%

3.73

%

Tangible Assets (2)

Ending assets (GAAP)

$

38,351,665

$

38,099,868

$

37,072,733

$

38,351,665

$

37,072,733

Less: Ending goodwill

1,754,875

1,754,875

1,726,386

1,754,875

1,726,386

Less: Ending amortizable intangibles

270,016

284,962

333,236

270,016

333,236

Ending tangible assets (non-GAAP)

$

36,326,774

$

36,060,031

$

35,013,111

$

36,326,774

$

35,013,111

Tangible Common Equity (2)

Ending equity (GAAP)

$

5,050,604

$

5,153,414

$

4,917,058

$

5,050,604

$

4,917,058

Less: Ending goodwill

1,754,875

1,754,875

1,726,386

1,754,875

1,726,386

Less: Ending amortizable intangibles

270,016

284,962

333,236

270,016

333,236

Less: Perpetual preferred stock

166,357

166,357

166,357

166,357

166,357

Ending tangible common equity (non-GAAP)

$

2,859,356

$

2,947,220

$

2,691,079

$

2,859,356

$

2,691,079

Average equity (GAAP)

$

5,144,943

$

5,125,495

$

4,866,989

$

5,113,117

$

4,276,987

Less: Average goodwill

1,754,875

1,754,875

1,711,081

1,747,837

1,547,051

Less: Average amortizable intangibles

277,313

292,322

342,064

292,312

262,434

Less: Average perpetual preferred stock

166,356

166,356

166,356

166,356

166,356

Average tangible common equity (non-GAAP)

$

2,946,399

$

2,911,942

$

2,647,488

$

2,906,612

$

2,301,146

ROTCE (2)(3)

Net income available to common shareholders (GAAP)

$

133,665

$

158,046

$

89,173

$

410,910

$

152,848

Plus: Amortization of intangibles, tax effected

11,807

11,957

14,335

35,967

33,161

Net income available to common shareholders before amortization of intangibles (non-GAAP)

$

145,472

$

170,003

$

103,508

$

446,877

$

186,009

Return on average tangible common equity (ROTCE)

19.59

%

23.42

%

15.51

%

20.56

%

10.81

%

ATLANTIC UNION BANKSHARES CORPORATION AND SUBSIDIARIES

KEY FINANCIAL RESULTS (UNAUDITED)

(Dollars in thousands, except share data)

As of & For Three Months Ended

As of & For Nine Months Ended

9/30/26

6/30/26

9/30/25

9/30/26

9/30/25

Operating Measures (4)

Net income (GAAP)

$

136,632

$

161,013

$

92,140

$

419,811

$

161,749

Plus: Merger-related costs, net of tax

—

—

26,856

6,956

94,847

Plus: CECL Day 1 non-PCD loans and RUC provision expense, net of tax

—

—

—

—

77,742

Plus: Loss on debt extinguishment, net of tax

1,977

—

—

1,977

—

Less: Gain (loss) on sale of securities, net of tax

8

3

3

12

(64

)

Less: (Loss) gain on CRE loan sale, net of tax

—

—

(3,700

)

—

8,405

Less: Gain on sale of equity interest in Cary Street Partners ("CSP"), net of tax

—

—

—

—

10,654

Less: Gain on sale of equity interest in Bearing Insurance, net of tax

—

24,023

—

24,023

—

Adjusted operating earnings (non-GAAP)

138,601

136,987

122,693

404,709

315,343

Less: Dividends on preferred stock

2,967

2,967

2,967

8,901

8,901

Adjusted operating earnings available to common shareholders (non-GAAP)

$

135,634

$

134,020

$

119,726

$

395,808

$

306,442

Operating Efficiency Ratio (1)(6)

Noninterest expense (GAAP)

$

204,333

$

199,136

$

238,446

$

613,279

$

652,327

Less: Loss on debt extinguishment

2,654

—

—

2,654

—

Less: Amortization of intangible assets

14,946

15,136

18,145

45,528

41,976

Less: Merger-related costs

—

—

34,812

9,034

118,652

Adjusted operating noninterest expense (non-GAAP)

$

186,733

$

184,000

$

185,489

$

556,063

$

491,699

Noninterest income (GAAP)

$

54,792

$

90,248

$

51,751

$

199,823

$

162,436

Less: Gain (loss) on sale of securities

10

4

4

16

(83

)

Less: (Loss) gain on CRE loan sale

—

—

(4,805

)

—

10,915

Less: Gain on sale of equity interest in CSP

—

—

—

—

14,300

Less: Gain on sale of equity interest in Bearing Insurance

—

32,350

—

32,350

—

Adjusted operating noninterest income (non-GAAP)

$

54,782

$

57,894

$

56,552

$

167,457

$

137,304

Net interest income (FTE) (non-GAAP) (1)

$

333,115

$

329,679

$

323,629

$

979,719

$

837,284

Adjusted operating noninterest income (non-GAAP)

54,782

57,894

56,552

167,457

137,304

Total adjusted revenue (FTE) (non-GAAP) (1)

$

387,897

$

387,573

$

380,181

$

1,147,176

$

974,588

Efficiency ratio

53.32

%

47.94

%

64.28

%

52.61

%

66.08

%

Efficiency ratio (FTE) (1)

52.68

%

47.42

%

63.52

%

51.99

%

65.25

%

Adjusted operating efficiency ratio (FTE) (1)(6)

48.14

%

47.47

%

48.79

%

48.47

%

50.45

%

Operating ROA & ROE (4)

Adjusted operating earnings (non-GAAP)

$

138,601

$

136,987

$

122,693

$

404,709

$

315,343

Average assets (GAAP)

$

37,975,963

$

37,433,973

$

37,377,383

$

37,557,572

$

33,378,378

Return on average assets (ROA) (GAAP)

1.43

%

1.73

%

0.98

%

1.49

%

0.65

%

Adjusted operating return on average assets (ROA) (non-GAAP)

1.45

%

1.47

%

1.30

%

1.44

%

1.26

%

Average equity (GAAP)

$

5,144,943

$

5,125,495

$

4,866,989

$

5,113,117

$

4,276,987

Return on average equity (ROE) (GAAP)

10.54

%

12.60

%

7.51

%

10.98

%

5.06

%

Adjusted operating return on average equity (ROE) (non-GAAP)

10.69

%

10.72

%

10.00

%

10.58

%

9.86

%

Operating ROTCE (2)(3)(4)

Adjusted operating earnings available to common shareholders (non-GAAP)

$

135,634

$

134,020

$

119,726

$

395,808

$

306,442

Plus: Amortization of intangibles, tax effected

11,807

11,957

14,335

35,967

33,161

Adjusted operating earnings available to common shareholders before amortization of intangibles (non-GAAP)

$

147,441

$

145,977

$

134,061

$

431,775

$

339,603

Average tangible common equity (non-GAAP)

$

2,946,399

$

2,911,942

$

2,647,488

$

2,906,612

$

2,301,146

Adjusted operating return on average tangible common equity (non-GAAP)

19.85

%

20.11

%

20.09

%

19.86

%

19.73

%

Operating pre-tax pre-provision earnings (FTE) (7)

Net income (GAAP)

$

136,632

$

161,013

$

92,140

$

419,811

$

161,749

Plus: Provision for credit losses

5,731

11,737

16,233

20,205

139,578

Plus: Income tax expense

36,518

43,480

24,142

112,441

33,527

Plus: Merger-related costs

—

—

34,812

9,034

118,652

Plus: FTE adjustment

4,693

4,561

4,419

13,806

12,539

Plus: Loss on debt extinguishment

2,654

—

—

2,654

—

Less: Gain (loss) on sale of securities

10

4

4

16

(83

)

Less: (Loss) gain on CRE loan sale

—

—

(4,805

)

—

10,915

Less: Gain on sale of equity interest in CSP

—

—

—

—

14,300

Less: Gain on sale of equity interest in Bearing Insurance

—

32,350

—

32,350

—

Adjusted operating pre-tax pre-provision earnings (FTE) (non-GAAP)

$

186,218

$

188,437

$

176,547

$

545,585

$

440,913

Less: Dividends on preferred stock

2,967

2,967

2,967

8,901

8,901

Adjusted operating pre-tax pre-provision earnings available to common shareholders (FTE) (non-GAAP)

$

183,251

$

185,470

$

173,580

$

536,684

$

432,012

Weighted average common shares outstanding, diluted

141,641,618

142,320,806

141,986,217

142,078,792

124,794,832

Adjusted operating pre-tax pre-provision earnings per common share, diluted (FTE)

$

1.29

$

1.30

$

1.22

$

3.78

$

3.46

ATLANTIC UNION BANKSHARES CORPORATION AND SUBSIDIARIES

KEY FINANCIAL RESULTS (UNAUDITED)

(Dollars in thousands, except share data)

As of & For Three Months Ended

As of & For Nine Months Ended

9/30/26

6/30/26

9/30/25

9/30/26

9/30/25

Mortgage Origination Held for Sale Volume

Refinance Volume

$

14,466

$

12,226

$

11,296

$

52,067

$

36,457

Purchase Volume

82,574

98,624

97,729

241,741

262,654

Total Mortgage loan originations held for sale

$

97,040

$

110,850

$

109,025

$

293,808

$

299,111

% of originations held for sale that are refinances

14.9

%

11.0

%

10.4

%

17.7

%

12.2

%

Wealth

Assets under management

$

16,578,808

$

16,522,020

$

14,819,080

$

16,578,808

$

14,819,080

Other Data

End of period full-time equivalent employees

3,111

3,073

3,100

3,111

3,100

____________________ (1)

These are non-GAAP financial measures. The Company believes net interest income (FTE), total revenue (FTE), and total adjusted revenue (FTE), which are used in computing net interest margin (FTE), efficiency ratio (FTE) and adjusted operating efficiency ratio (FTE), provide valuable additional insight into the net interest margin and the efficiency ratio by adjusting for differences in tax treatment of interest income sources. The entire FTE adjustment is attributable to interest income on earning assets, which is used in computing the yield on earning assets. Interest expense and the related cost of interest-bearing liabilities and cost of funds ratios are not affected by the FTE components.

(2)

These are non-GAAP financial measures. Tangible assets and tangible common equity are used in the calculation of certain profitability, capital, and per share ratios. The Company believes tangible assets, tangible common equity and the related ratios are meaningful measures of capital adequacy because they provide a meaningful base for period-to-period and company-to-company comparisons, which the Company believes will assist investors in assessing the capital of the Company and its ability to absorb potential losses. The Company believes tangible common equity is an important indication of its ability to grow organically and through business combinations as well as its ability to pay dividends and to engage in various capital management strategies.

(3)

These are non-GAAP financial measures. The Company believes that ROTCE is a meaningful supplement to GAAP financial measures and is useful to investors because it measures the performance of a business consistently across time without regard to whether components of the business were acquired or developed internally.

(4)

These are non-GAAP financial measures. Adjusted operating measures exclude or include, as applicable, merger-related costs, CECL Day 1 non-PCD loans and RUC provision expense, loss on debt extinguishment, gain (loss) on sale of securities, (loss) gain on CRE loan sale, gain on sale of equity interest in CSP, and gain on sale of equity interest in Bearing Insurance. The Company believes these non-GAAP adjusted measures provide investors with important information about the continuing economic results of the Company’s operations.

(5)

All ratios at September 30, 2026 are estimates and subject to change pending the Company’s filing of its FR Y-9C. All other periods are presented as filed.

(6)

The adjusted operating efficiency ratio (FTE) excludes, as applicable, the amortization of intangible assets, merger-related costs, loss on debt extinguishment, gain (loss) on sale of securities, (loss) gain on CRE loan sale, gain on sale of equity interest in CSP, and gain on sale of equity interest in Bearing Insurance. This measure is similar to the measure used by the Company when analyzing corporate performance and is also similar to the measure used for incentive compensation. The Company believes this adjusted measure provides investors with important information about the continuing economic results of the Company’s operations.

(7)

These are non-GAAP financial measures. Adjusted operating pre-tax pre-provision earnings (FTE) excludes or includes, as applicable, the provision for credit losses, which can fluctuate significantly from period-to-period under the CECL methodology, income tax expense, merger-related costs, FTE adjustment, loss on debt extinguishment, gain (loss) on sale of securities, (loss) gain on CRE loan sale, gain on sale of equity interest in CSP, and gain on sale of equity interest in Bearing Insurance. The Company believes this adjusted measure provides investors with important information about the continuing economic results of the Company’s operations.

(8)

Effective January 1, 2026, the Company made certain changes to its ACL methodology as part of the continued enhancement of its credit modeling practices, resulting in more dynamic and precise modeling that allows for more granularity in the monitoring of our credit losses. The ACL methodology changes were accounted for prospectively as a change in accounting estimate and did not have a material impact on the Company’s Consolidated Financial Statements.

ATLANTIC UNION BANKSHARES CORPORATION AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(Dollars in thousands, except share data)

September 30,

December 31,

September 30,

2026

2025

2025

ASSETS

(unaudited)

(audited)

(unaudited)

Cash and cash equivalents:

Cash and due from banks

$

451,303

$

234,257

$

342,490

Interest-bearing deposits in other banks

237,178

706,014

447,323

Federal funds sold

12,280

26,191

4,852

Total cash and cash equivalents

700,761

966,462

794,665

Securities available for sale, at fair value

3,748,965

4,194,301

4,267,523

Securities held to maturity, at carrying value

845,326

884,216

883,786

Restricted stock, at cost

190,101

190,200

159,320

Loans held for sale

16,825

18,486

24,772

Loans held for investment, net of unearned income

29,296,616

27,796,167

27,361,173

Less: allowance for loan and lease losses

301,432

295,108

293,035

Total loans held for investment, net

28,995,184

27,501,059

27,068,138

Premises and equipment, net

166,524

166,752

168,315

Goodwill

1,754,875

1,733,287

1,726,386

Amortizable intangibles, net

270,016

315,544

333,236

Bank owned life insurance

683,224

672,890

669,102

Other assets

979,864

942,557

977,490

Total assets

$

38,351,665

$

37,585,754

$

37,072,733

LIABILITIES

Noninterest-bearing demand deposits

$

6,761,674

$

6,844,629

$

7,104,642

Interest-bearing deposits

24,203,855

23,627,007

23,560,682

Total deposits

30,965,529

30,471,636

30,665,324

Securities sold under agreements to repurchase

114,650

75,432

91,630

Other short-term borrowings

650,000

650,000

—

Long-term borrowings

857,753

771,860

768,682

Other liabilities

713,129

610,428

630,039

Total liabilities

33,301,061

32,579,356

32,155,675

Commitments and contingencies

STOCKHOLDERS' EQUITY

Preferred stock, $10.00 par value

173

173

173

Common stock, $1.33 par value

186,792

188,563

188,504

Additional paid-in capital

3,828,984

3,888,841

3,882,830

Retained earnings

1,437,072

1,184,908

1,128,659

Accumulated other comprehensive loss

(402,417

)

(256,087

)

(283,108

)

Total stockholders' equity

5,050,604

5,006,398

4,917,058

Total liabilities and stockholders' equity

$

38,351,665

$

37,585,754

$

37,072,733

Common shares issued and outstanding

140,445,286

141,776,886

141,732,071

Common shares authorized

200,000,000

200,000,000

200,000,000

Preferred shares issued and outstanding

17,250

17,250

17,250

Preferred shares authorized

500,000

500,000

500,000

ATLANTIC UNION BANKSHARES CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED)

(Dollars in thousands, except share data)

Three Months Ended

Nine Months Ended

September 30,

June 30,

September 30,

September 30,

September 30,

2026

2026

2025

2026

2025

Interest and dividend income:

Interest and fees on loans

$

451,734

$

436,807

$

441,944

$

1,308,169

$

1,172,224

Interest on deposits in other banks

1,741

2,165

12,478

6,051

19,982

Interest and dividends on securities:

Taxable

38,793

38,973

40,601

118,773

102,509

Nontaxable

8,865

8,883

8,414

26,702

24,930

Total interest and dividend income

501,133

486,828

503,437

1,459,695

1,319,645

Interest expense:

Interest on deposits

153,553

146,438

170,721

441,769

457,650

Interest on short-term borrowings

8,031

5,327

626

18,585

5,682

Interest on long-term borrowings

11,127

9,945

12,880

33,428

31,568

Total interest expense

172,711

161,710

184,227

493,782

494,900

Net interest income

328,422

325,118

319,210

965,913

824,745

Provision for credit losses

5,731

11,737

16,233

20,205

139,578

Net interest income after provision for credit losses

322,691

313,381

302,977

945,708

685,167

Noninterest income:

Service charges on deposit accounts

12,886

12,259

12,838

37,261

34,743

Other service charges, commissions and fees

2,266

2,286

2,325

6,490

6,332

Interchange fees

3,697

3,750

4,089

10,773

10,816

Fiduciary and asset management fees

20,452

21,460

18,595

62,090

43,014

Mortgage banking income

1,528

2,656

2,811

6,211

6,605

Bank owned life insurance income

5,954

5,734

5,116

16,888

15,979

Loan-related interest rate swap fees

4,530

6,484

5,911

14,988

10,043

Other operating income

3,479

35,619

66

45,122

34,904

Total noninterest income

54,792

90,248

51,751

199,823

162,436

Noninterest expense:

Salaries and benefits

113,978

112,309

108,319

339,700

293,676

Occupancy expenses

13,089

12,862

13,582

39,153

34,944

Furniture and equipment expenses

5,604

5,532

6,536

16,691

16,794

Technology and data processing

17,492

16,016

17,009

49,110

44,444

Professional services

6,193

6,154

8,774

18,115

21,268

Marketing and advertising expense

8,040

5,479

5,100

20,847

12,041

FDIC assessment premiums and other insurance

6,759

6,633

8,817

20,239

22,660

Franchise and other taxes

4,767

4,675

4,669

14,148

14,000

Loan-related expenses

2,544

2,723

1,933

8,118

4,461

Amortization of intangible assets

14,946

15,136

18,145

45,528

41,976

Merger-related costs

—

—

34,812

9,034

118,652

Other expenses

10,921

11,617

10,750

32,596

27,411

Total noninterest expense

204,333

199,136

238,446

613,279

652,327

Income before income taxes

173,150

204,493

116,282

532,252

195,276

Income tax expense

36,518

43,480

24,142

112,441

33,527

Net Income

$

136,632

$

161,013

$

92,140

$

419,811

$

161,749

Dividends on preferred stock

2,967

2,967

2,967

8,901

8,901

Net income available to common shareholders

$

133,665

$

158,046

$

89,173

$

410,910

$

152,848

Basic earnings per common share

$

0.95

$

1.11

$

0.63

$

2.90

$

1.23

Diluted earnings per common share

$

0.94

$

1.11

$

0.63

$

2.89

$

1.22

ATLANTIC UNION BANKSHARES CORPORATION AND SUBSIDIARIES

AVERAGE BALANCES, INCOME AND EXPENSES, YIELDS AND RATES (TAXABLE EQUIVALENT BASIS) (UNAUDITED)

(Dollars in thousands)

For the Quarter Ended

September 30, 2026

June 30, 2026

Average
Balance

Interest
Income /
Expense (1)

Yield /
Rate (1)(2)

Average
Balance

Interest
Income /
Expense (1)

Yield /
Rate (1)(2)

Assets:

Securities:

Taxable

$

3,580,534

$

38,793

4.30

%

$

3,659,723

$

38,973

4.27

%

Tax-exempt

1,314,635

11,222

3.39

%

1,316,804

11,245

3.43

%

Total securities

4,895,169

50,015

4.05

%

4,976,527

50,218

4.05

%

LHFI, net of unearned income (3)(4)

28,927,866

453,611

6.22

%

28,243,611

438,508

6.23

%

Other earning assets

268,011

2,200

3.26

%

324,702

2,663

3.29

%

Total earning assets

34,091,046

$

505,826

5.89

%

33,544,840

$

491,389

5.88

%

Allowance for loan and lease losses

(300,123

)

(293,455

)

Total non-earning assets

4,185,040

4,182,588

Total assets

$

37,975,963

$

37,433,973

Liabilities and Stockholders' Equity:

Interest-bearing deposits:

Transaction and money market accounts

$

14,828,582

$

84,865

2.27

%

$

14,949,644

$

83,153

2.23

%

Regular savings

2,634,711

12,207

1.84

%

2,617,569

10,762

1.65

%

Time deposits (5)

6,422,120

56,481

3.49

%

6,086,936

52,523

3.46

%

Total interest-bearing deposits

23,885,413

153,553

2.55

%

23,654,149

146,438

2.48

%

Other borrowings (6)

1,717,294

19,158

4.43

%

1,371,046

15,272

4.47

%

Total interest-bearing liabilities

$

25,602,707

$

172,711

2.68

%

$

25,025,195

$

161,710

2.59

%

Noninterest-bearing liabilities:

Demand deposits

6,622,362

6,736,570

Other liabilities

605,951

546,713

Total liabilities

32,831,020

32,308,478

Stockholders' equity

5,144,943

5,125,495

Total liabilities and stockholders' equity

$

37,975,963

$

37,433,973

Net interest income (FTE)

$

333,115

$

329,679

Interest rate spread

3.21

%

3.29

%

Cost of funds

2.01

%

1.94

%

Net interest margin (FTE)

3.88

%

3.94

%

____________________ (1)

Income and yields are reported on a taxable equivalent basis using the statutory federal corporate tax rate of 21%.

(2)

Rates and yields are annualized and calculated from rounded amounts in thousands, which appear above.

(3)

Nonaccrual loans are included in average loans outstanding.

(4)

Interest income on loans includes $41.3 million and $40.4 million for the three months ended September 30, 2026, and June 30, 2026, respectively, in accretion of the fair market value adjustments related to acquisitions.

(5)

Interest expense on time deposits includes $19 thousand and $111 thousand for the three months ended September 30, 2026, and June 30, 2026, respectively, in accretion of the fair market value adjustments related to acquisitions.

(6)

Interest expense on borrowings includes $452 thousand and $621 thousand for the three months ended September 30, 2026, and June 30, 2026, respectively, in amortization of the fair market value adjustments related to acquisitions.