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Rivian CEO RJ Scaringe said on Thursday the EV maker ‌is "very confident" it will hit an autonomy milestone this year that unlocks a $250 million tranche of Uber's investment, and that demand for its

Chipotle shares surged nearly 9% Thursday after the burrito-and-bowl chain reported improving sales and revealed roughly 3% menu price hikes in the fourth quarter amid rising beef, freight and labor costs.

The fast-casual giant has been gradually raising prices market by market since late last year, seeking to offset inflation without driving away customers.

“On pricing, the impact in Q3 was around 2.7%. We anticipate it will increase to about 3% in Q4,” Chief Financial Officer Adam Rymer told Wall Street analysts during an earnings call Wednesday.

Chipotle expects the impact of its menu price increases to reach roughly 3% in the fourth quarter as rising costs squeeze the burrito chain. Felix Mizioznikov – stock.adobe.com
The 3% projection reflects the cumulative effect of price increases introduced in different markets, not a newly announced hike affecting every Chipotle restaurant.

The impact of Chipotle’s price increases has grown throughout 2026, climbing from 0.9% in the first quarter to 1.6% in the second and 2.7% in the third.

Chipotle initially expected menu pricing to rise 1% to 2% for the full year, even as its operating costs were projected to climb between 3% and 4%.

The company now expects pricing to contribute roughly 2% for the full year, with menu price increases catching up to inflation in the fourth quarter.

Higher beef and freight costs have squeezed the chain, which is also grappling with rising wages and additional expenses tied to restaurant staffing.

The fast-casual chain has been gradually raising menu prices across different markets to offset higher beef, freight and labor expenses. Agustin – stock.adobe.com
Food, beverage and packaging costs fell to 29.5% of revenue in the third quarter from 30% a year earlier, helped by menu price increases that partly offset higher beef and freight expenses.

Labor costs, meanwhile, rose to 25.7% of revenue from 25.2% a year earlier, driven by higher wages, performance bonuses, additional restaurant staffing and insurance expenses.

The pricing strategy comes as Chipotle works to win back customers following a stretch of sluggish demand.

Chipotle shares surged more than 11% this week as investors welcomed signs of improving sales and customer traffic.
Third-quarter revenue climbed 9.6% to $3.29 billion, while comparable restaurant sales rose 2.1%, helped by a 0.8% increase in customer transactions.

Investors appeared to focus on improving sales and customer traffic despite adjusted earnings of 27 cents per share falling short of Wall Street expectations of roughly 29 cents.

Chipotle has also stepped up advertising and promotions, including campaigns built around limited-time menu offerings, to boost customer traffic.

Marketing expenses accounted for a percentage of sales in the mid-3% range during the third quarter and are expected to climb into the high-3% range in the fourth as Chipotle promotes its smoked brisket offering.

Chipotle CEO Scott Boatwright said in April that the chain’s entrée prices were roughly 20% to 30% lower than those of competing fast-casual restaurants.

Chipotle’s fourth-quarter pricing impact is expected to reach approximately 3%, up from 2.7% in the third quarter. Jeffrey Greenberg/Universal Images Group via Getty Images
Still, higher menu prices haven’t spared Chipotle from continued pressure on its profit margins.

Chipotle expects fourth-quarter restaurant-level operating margins to fall to just under 22% from 23.4% a year earlier, as higher marketing expenses and weaker sales leverage squeeze profitability.

Several Wall Street firms cut their price targets, citing concerns about a slower recovery in profit margins despite signs of improving customer traffic.

Bernstein lowered its price target from $50 to $43, RBC from $45 to $40, and BMO from $52 to $50.

Chipotle expects comparable restaurant sales to rise approximately 2% in the fourth quarter as it continues testing price increases in individual markets to gauge customer resistance.

SANTA CLARA, Calif.--(BUSINESS WIRE)--Agilent Technologies Inc. (NYSE: A) will release financial results for the fourth quarter of fiscal year 2026 after the stock market closes on Monday, Nov. 23. The company will host a conference call to discuss the results at 1:30 p.m. PST the same day.To join the listen-only conference-call webcast, click the link on the Events section of Agilent's Investor Relations website. A recording of the call will also be available on the website for 90 days.About Ag.

MALVERN, Pa., Oct. 29, 2026 (GLOBE NEWSWIRE) -- CubeSmart (NYSE: CUBE) today announced its operating results for the three and nine months ended September 30, 2026.

“Third quarter results reflected strong execution across our operating platform, with positive same-store revenue and NOI growth supported by higher occupancy and improving rental activity,” commented President and Chief Executive Officer Christopher P. Marr. “We are encouraged by the broadening momentum across the portfolio, reinforcing our confidence in the trajectory of the business and our ability to generate durable growth.”

Key Highlights for the Third Quarter

Reported diluted earnings per share (“EPS”) attributable to the Company’s common shareholders of $0.42.Reported funds from operations (“FFO”), as adjusted, per diluted share of $0.66.Same-store (623 stores) net operating income (“NOI”) increased 2.1% year over year, resulting from a 1.9% increase in revenues and a 1.3% increase in operating expenses.Same-store occupancy averaged 90.5% during the quarter, ending at 89.9%.Repurchased 2.1 million common shares of beneficial interest through our share repurchase program for $83.9 million at an average purchase price of $39.09 per share.Redeemed $300 million of unsecured senior notes.Added 32 stores to our third-party management platform, bringing our total third-party managed store count to 882.
Financial Results

Net income attributable to the Company’s common shareholders was $94.4 million for the third quarter of 2026, compared with $82.9 million for the third quarter of 2025. Diluted EPS attributable to the Company’s common shareholders increased to $0.42 for the third quarter of 2026, compared with $0.36 for the same period last year.

FFO, as adjusted was $150.3 million for the third quarter of 2026 compared with $149.0 million for the third quarter of 2025. FFO, as adjusted, per diluted share increased 1.5% to $0.66 for the third quarter of 2026, compared with $0.65 for the same period last year.  

Investment Activity

Disposition Activity

The Company has agreed to contribute 15 wholly-owned stores to a newly-formed joint venture with an affiliate of Heitman Capital Management (“Heitman”) for an agreed-upon value of $197.0 million. Under the agreement, the Company will receive cash and own a 20% interest in the joint venture, while Heitman will contribute cash and own the remaining 80% interest. The stores subject to the agreement contain approximately 0.9 million square feet and are located in Connecticut (3), Georgia (1), North Carolina (2), Ohio (1), Texas (2), Utah (4) and Virginia (2). It is expected that the properties in the joint venture will be secured by a $99.7 million loan that matures in November 2033. The transaction is scheduled to close in the fourth quarter of 2026.

Development Activity

The Company, from time to time, enters into agreements with developers for the construction of self-storage properties in high-barrier-to-entry locations. As of September 30, 2026, the Company had one joint venture development property under construction. The Company anticipates investing a total of $28.0 million related to this project and had invested $10.8 million of that total as of September 30, 2026. The development property is located in New York and is expected to open during the third quarter of 2027.

Third-Party Management

As of September 30, 2026, the Company’s third-party management platform included 882 stores totaling 58.2 million rentable square feet. During the three and nine months ended September 30, 2026, the Company added 32 and 90 stores, respectively, to its third-party management platform.

Same-Store Results

The Company’s same-store portfolio as of September 30, 2026 included 623 stores containing 45.2 million rentable square feet, or approximately 93.3% of the aggregate rentable square feet of the Company’s 662 consolidated stores. These same-store properties represented approximately 94.7% of the Company’s property NOI for the three months ended September 30, 2026.

Same-store physical occupancy as of September 30, 2026 and 2025 was 89.9% and 89.0%, respectively. Same-store total revenues for the third quarter of 2026 increased 1.9% and same-store operating expenses increased 1.3% compared to the same quarter in 2025. Same-store NOI increased 2.1% from the third quarter of 2025 to the third quarter of 2026.

Operating Results

As of September 30, 2026, the Company’s total consolidated portfolio included 662 stores containing 48.5 million rentable square feet with physical occupancy of 89.7%.

Total revenues increased $8.9 million and property operating expenses increased $4.9 million for the third quarter of 2026, as compared to the same period in 2025. The increase in revenues was primarily attributable to higher occupancy and rental rates in our same-store portfolio, while the increase in property operating expenses was primarily attributable to increases in property taxes and personnel expenses.

Interest expense increased from $29.4 million during the three months ended September 30, 2025 to $31.1 million during the three months ended September 30, 2026, an increase of $1.7 million. The increase was attributable to an increase in the average outstanding debt balance and higher interest rates during the 2026 period compared to the 2025 period. The average outstanding debt balance increased from $3.44 billion during the three months ended September 30, 2025 to $3.55 billion during the three months ended September 30, 2026. The weighted average effective interest rate on our outstanding debt increased from 3.32% during the three months ended September 30, 2025 to 3.37% for the three months ended September 30, 2026.

Balance Sheet Activity

In September 2026 the Company used borrowings under its unsecured revolving credit facility to redeem $300 million of outstanding unsecured senior notes due September 2026. Additionally during the quarter, the Company repaid three mortgage loans with an aggregate balance of $40.3 million.

During the three months ended September 30, 2026, the Company repurchased 2.1 million common shares of beneficial interest through its share repurchase program for $83.9 million, resulting in an average purchase price of $39.09 per share. As of September 30, 2026, 8.0 million shares remained available for repurchase under this program.

Subsequent to September 30, 2026, the Company entered into a $300 million unsecured term loan (the “Term Loan”) that is scheduled to mature on January 10, 2031. At the Company’s current credit rating and leverage level, the effective interest rate is SOFR + 0.80%. Proceeds from the Term Loan were used to repay amounts drawn under the Company’s unsecured revolving credit facility.

Quarterly Dividend

On July 28, 2026, the Company declared a quarterly dividend of $0.53 per common share. The dividend was paid on October 15, 2026 to common shareholders of record on October 1, 2026.

2026 Financial Outlook

“The strength of our year-to-date performance supported improvements to all of our full-year same-store and FFO guidance ranges,” commented Chief Financial Officer Tim Martin. “Subsequent to the quarter, we advanced a series of liquidity-enhancing transactions that showcase our access to a wide range of capital sources and provide additional flexibility to allocate capital where we see compelling long-term value.”

The Company estimates that its fully diluted earnings per share for 2026 will be between $1.60 and $1.62, and that its fully diluted FFO per share, as adjusted, for 2026 will be between $2.58 and $2.60. Due to uncertainty related to the timing and terms of transactions, the impact of any potential future speculative investment activity is excluded from guidance. For 2026, the same-store pool consists of 623 properties totaling 45.2 million rentable square feet.

 Current Ranges for Current Ranges for2026 Full Year Guidance Range SummaryCurrent Ranges for Annual Assumptions Prior Guidance (1)Same-store revenue growth 1.00% to 1.40%  0.50% to 1.25%Same-store expense growth 2.80% to 3.80%  3.25% to 4.50%Same-store NOI growth 0.00% to 0.80%  (1.00%) to 0.25%              Property management fee income$39.0M to$41.0M $39.0M to$41.0MGeneral and administrative expenses$66.5M to$68.5M $66.5M to$68.5MInterest and loan amortization expense$126.5M to$128.5M $124.5M to$128.5MFull year weighted average shares and units227.5M 228.2M              Diluted earnings per share attributable to common                shareholders$1.60  to$1.62  $1.58  to$1.64 Plus: real estate depreciation and amortization 0.99    0.99   0.97    0.97 Less: gain from sale of real estate (0.01)   (0.01)  (0.01)   (0.01)FFO, as adjusted, per diluted share$2.58  to$2.60  $2.54  to$2.60  (1)Prior guidance as indicated in our second quarter earnings release dated July 30, 2026.   Conference Call

Management will host a conference call at 11:00 a.m. ET on Friday, October 30, 2026 to discuss financial results for the three months ended September 30, 2026.

A live webcast of the conference call will be available online from the investor relations page of the Company’s corporate website at investors.cubesmart.com. Telephone participants may join on the day of the call by dialing 1 (833) 461-5787 using conference ID number 488 082 528. Registered financial analysts participating on the call may avoid delays by pre-registering using the following link: https://events.q4inc.com/analyst/488082528?pwd=jzlZoG1C. A replay of the webcast will be available on the Company’s website following the live event.

Supplemental operating and financial data as of September 30, 2026 is available in the investor relations section of the Company’s corporate website.

About CubeSmart

CubeSmart is a self-administered and self-managed real estate investment trust (“REIT”). The Company's self-storage properties are designed to offer affordable, easily accessible and, in most locations, climate-controlled storage space for residential and commercial customers. According to the 2026 Self-Storage Almanac, CubeSmart is one of the top three owners and operators of self-storage properties in the United States.

Non-GAAP Financial Measures

Funds from operations (“FFO”) is a widely used performance measure for real estate companies and is provided here as a supplemental measure of operating performance. The April 2002 National Policy Bulletin of the National Association of Real Estate Investment Trusts (the “White Paper”), as amended, defines FFO as net income (computed in accordance with GAAP), excluding gains (or losses) from sales of real estate and related impairment charges, plus real estate depreciation and amortization, and after adjustments for unconsolidated partnerships and joint ventures.

Management uses FFO as a key performance indicator in evaluating the operations of the Company's stores. Given the nature of its business as a real estate owner and operator, the Company considers FFO a key measure of its operating performance that is not specifically defined by accounting principles generally accepted in the United States. The Company believes that FFO is useful to management and investors as a starting point in measuring its operational performance because FFO excludes various items included in net income that do not relate to or are not indicative of its operating performance such as gains (or losses) from sales of real estate, gains from remeasurement of investments in real estate ventures, impairments of depreciable assets, and depreciation, which can make periodic and peer analyses of operating performance more difficult. The Company’s computation of FFO may not be comparable to FFO reported by other REITs or real estate companies.

FFO should not be considered as an alternative to net income (determined in accordance with GAAP) as an indication of the Company’s performance. FFO does not represent cash generated from operating activities determined in accordance with GAAP and is not a measure of liquidity or an indicator of the Company’s ability to make cash distributions. The Company believes that to further understand its performance, FFO should be compared with its reported net income and considered in addition to cash flows computed in accordance with GAAP, as presented in its consolidated financial statements.

FFO, as adjusted represents FFO as defined above, excluding the effects of acquisition related costs, gains or losses from early extinguishment of debt, and other non-recurring items, which the Company believes are not indicative of the Company’s operating results.

The Company defines net operating income, which it refers to as “NOI,” as total continuing revenues less continuing property operating expenses. NOI also can be calculated by adding back to net income (loss): interest expense on loans, loan procurement amortization expense, loss on early extinguishment of debt, acquisition related costs, equity in losses of real estate ventures, other expense, depreciation and amortization expense, general and administrative expense, and deducting from net income (loss): equity in earnings of real estate ventures, gains from sales of real estate, net, other income, gains from remeasurement of investments in real estate ventures and interest income. NOI is a measure of performance that is not calculated in accordance with GAAP.

Management uses NOI as a measure of operating performance at each of its stores, and for all of its stores in the aggregate. NOI should not be considered as a substitute for net income, cash flows provided by operating, investing and financing activities, or other income statement or cash flow statement data prepared in accordance with GAAP.

The Company believes NOI is useful to investors in evaluating operating performance because it is one of the primary measures used by management and store managers to evaluate the economic productivity of the Company’s stores, including the ability to lease stores, increase pricing and occupancy, and control property operating expenses. Additionally, NOI helps the Company’s investors meaningfully compare the results of its operating performance from period to period by removing the impact of its capital structure (primarily interest expense on outstanding indebtedness) and depreciation of the basis in its assets from operating results.

Forward-Looking Statements

This presentation, together with other statements and information publicly disseminated by CubeSmart (“we,” “us,” “our” or the “Company”), contain 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, or the “Exchange Act.” Forward-looking statements include statements concerning the Company’s plans, objectives, goals, strategies, future events, future revenues or performance, capital expenditures, financing needs, plans or intentions relating to acquisitions and other information that is not historical information. In some cases, forward-looking statements can be identified by terminology such as “believes,” “expects,” “estimates,” “may,” “will,” “should,” “anticipates,” or “intends” or the negative of such terms or other comparable terminology, or by discussions of strategy. Such statements are based on assumptions and expectations that may not be realized and are inherently subject to risks, uncertainties and other factors, many of which cannot be predicted with accuracy and some of which might not even be anticipated. Although we believe the expectations reflected in these forward-looking statements are based on reasonable assumptions, future events and actual results, performance, transactions or achievements, financial and otherwise, may differ materially from the results, performance, transactions or achievements expressed or implied by the forward-looking statements. As a result, you should not rely on or construe any forward-looking statements in this presentation, or which management or persons acting on their behalf may make orally or in writing from time to time, as predictions of future events or as guarantees of future performance. We caution you not to place undue reliance on forward-looking statements, which speak only as of the date of this presentation or as of the dates otherwise indicated in such forward-looking statements. All of our forward-looking statements, including those in this presentation, are qualified in their entirety by this statement.

There are a number of risks and uncertainties that could cause our actual results to differ materially from the forward-looking statements contained in or contemplated by this presentation. Any forward-looking statements should be considered in light of the risks and uncertainties referred to in Item 1A. “Risk Factors” in our Annual Report on Form 10-K and in our other filings with the Securities and Exchange Commission (“SEC”).

These risks include, but are not limited to, the following:

adverse changes in economic conditions in the real estate industry and in the markets in which we own and operate self-storage properties;the effect of competition from existing and new self-storage properties and operators on our ability to maintain or raise occupancy and rental rates;the failure to execute our business plan;adverse consumer impacts and declines in general economic conditions from inflation, tariffs, changes in interest rates and wage stagnation, including impacts on the demand for self-storage, rental rates and fees and rent collection levels;reduced availability and increased costs of external sources of capital;financing risks, including rising interest rates, the risk of over-leverage and the corresponding risk of default on our mortgage and other debt and potential inability to refinance existing or future debt;counterparty non-performance related to the use of derivative financial instruments;risks related to our ability to maintain our qualification as a REIT for federal income tax purposes;the failure of acquisitions or developments of self-storage properties to close on expected terms, or at all, or to perform as expected;increases in taxes, fees and assessments from state and local jurisdictions;the failure of our joint venture partners to fulfill their obligations to us or their pursuit of actions that are inconsistent with our objectives;reductions in asset valuations and related impairment charges;negative publicity relating to our business or industry, which could adversely affect our reputation;increases in operating costs, including, without limitation, insurance, utility and other general expenses, which could adversely affect our financial results;cybersecurity breaches, cyber or ransomware attacks or a failure of our networks, systems or technology, which could adversely impact our business, customer and employee relationships or result in fraudulent payments;risks associated with generative artificial intelligence tools and large language models and the conclusions that these tools and models may draw about our business and prospects in connection with the dissemination of negative opinions, characterizations or disinformation;changes in real estate, zoning, use and occupancy laws or regulations;risks related to or consequences of earthquakes, hurricanes, windstorms, floods, wildfires, other natural disasters or acts of violence, pandemics, active shooters, terrorism, insurrection or war that impact the markets in which we operate;potential environmental and other material liabilities;governmental, administrative and executive orders, regulations and laws, which could adversely impact our business operations and customer and employee relationships;uninsured or uninsurable losses and the ability to obtain insurance coverage, indemnity or recovery from insurance against risks and losses;changes in the availability of and the cost of labor;other factors affecting the real estate industry generally or the self-storage industry in particular; andother risks identified in Item 1A of our Annual Report on Form 10-K and, from time to time, in other reports that we file with the SEC or in other documents that we publicly disseminate. Given these uncertainties, we caution readers not to place undue reliance on forward-looking statements. We undertake no obligation to publicly update or revise these forward-looking statements, whether as a result of new information, future events or otherwise except as may be required by securities laws. Because of the factors referred to above, the future events discussed in this presentation may not occur and actual results, performance or achievement could differ materially from that anticipated or implied in the forward-looking statements.

Contact:                               

CubeSmart
Josh Schutzer
Senior Vice President, Finance
(610) 535-5700

CUBESMART AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(in thousands, except share data)                September 30, December 31,     2026
    2025
  (unaudited)          ASSETS      Storage properties $8,168,758  $8,134,189 Less: Accumulated depreciation  (1,889,960)  (1,758,340)Storage properties, net (includes VIE amounts of $381,351 and $373,687, respectively)  6,278,798   6,375,849 Cash and cash equivalents (including VIE amounts of $7,358 and $4,397, respectively)  14,311   5,782 Restricted cash (including VIE amounts of $47 and $2,552, respectively)  1,788   4,451 Loan procurement costs, net of amortization  6,312   1,803 Investment in real estate ventures, at equity  72,622   74,034 Other assets, net  172,054   181,274 Total assets $6,545,885  $6,643,193        LIABILITIES AND EQUITY      Unsecured senior notes, net $2,628,715  $2,925,103 Revolving credit facility  850,100   378,800 Mortgage loans and notes payable, net (including VIE amounts of $0 and $7,092, respectively)  56,996   98,859 Lease liabilities - finance leases  65,431   65,579 Accounts payable, accrued expenses and other liabilities  250,317   229,666 Distributions payable  119,477   121,519 Deferred revenue  43,124   41,591 Total liabilities  4,014,160   3,861,117        Noncontrolling interests in the Operating Partnership  36,987   36,167        Commitments and contingencies             Equity      Common shares $.01 par value, 400,000,000 shares authorized, 223,401,744 and 227,269,217 shares issued and outstanding at September 30, 2026 and December 31, 2025, respectively  2,234   2,273 Additional paid-in capital  4,314,197   4,302,554 Accumulated other comprehensive loss  (189)  (249)Accumulated deficit  (1,839,683)  (1,585,135)Total CubeSmart shareholders’ equity  2,476,559   2,719,443 Noncontrolling interests in subsidiaries  18,179   26,466 Total equity  2,494,738   2,745,909 Total liabilities and equity $6,545,885  $6,643,193  CUBESMART AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
(unaudited)               Three Months Ended  Nine Months Ended   September 30, September 30,     2026
    2025
    2026
    2025
             REVENUES            Rental income $247,757  $243,400  $729,899  $715,722 Other property related income  36,053   31,730   102,365   94,092 Property management fee income  10,158   9,950   30,119   30,605 Total revenues  293,968   285,080   862,383   840,419 OPERATING EXPENSES            Property operating expenses  95,789   90,848   281,875   262,810 Depreciation and amortization  55,947   66,688   173,224   192,332 General and administrative  16,502   16,506   50,937   47,471 Total operating expenses  168,238   174,042   506,036   502,613 OTHER (EXPENSE) INCOME            Interest:            Interest expense on loans  (31,082)  (29,380)  (91,254)  (84,570)Loan procurement amortization expense  (1,049)  (1,258)  (3,213)  (3,700)Equity in earnings of real estate ventures  604   648   1,767   1,574 Gain from sale of real estate, net  —   —   2,503   — Other  108   1,368   371   2,483 Total other expense  (31,419)  (28,622)  (89,826)  (84,213)NET INCOME  94,311   82,416   266,521   253,593 Net income attributable to noncontrolling interests in the Operating Partnership  (411)  (396)  (1,163)  (1,250)Net loss attributable to noncontrolling interests in subsidiaries  455   910   1,469   2,744 NET INCOME ATTRIBUTABLE TO THE COMPANY $94,355  $82,930  $266,827  $255,087              Basic earnings per share attributable to common shareholders $0.42  $0.36  $1.18  $1.12 Diluted earnings per share attributable to common shareholders $0.42  $0.36  $1.17  $1.11              Weighted average basic shares outstanding  225,637   228,791   226,732   228,731 Weighted average diluted shares outstanding  226,109   229,295   227,166   229,237               Same-Store Results (623 stores)
(in thousands, except percentages and per square foot data)
(unaudited)

                    Three Months Ended    Nine Months Ended    September 30, Percent   September 30, Percent       2026
    2025
    Change 2026
    2025
    Change                  REVENUES                 Rental income $233,454  $230,816  1.1%   $688,001  $683,629  0.6%Other property related income  13,254   11,349  16.8%   38,068   34,475  10.4%Total revenues  246,708   242,165  1.9%   726,069   718,104  1.1%                  OPERATING EXPENSES                 Property taxes (1)  28,934   27,823  4.0%    87,985   84,552  4.1%Personnel expense  15,340   14,712  4.3%    45,579   42,882  6.3%Advertising  7,313   8,193  (10.7)%    19,938   19,462  2.4%Repair and maintenance  3,809   3,485  9.3%   10,488   9,202  14.0%Utilities  6,365   6,056  5.1%    18,129   17,508  3.5%Property insurance  2,391   2,682  (10.9)%    7,719   9,225  (16.3)%Other expenses  9,916   10,170  (2.5)%    31,251   30,191  3.5%                  Total operating expenses  74,068   73,121  1.3%    221,089   213,022  3.8%                  Net operating income (2) $172,640  $169,044  2.1%   $504,980  $505,082  0.0%                  Gross margin  70.0%   69.8%     69.5%   70.3%                    Period end occupancy  89.9%  89.0%      89.9%   89.0%                     Period average occupancy  90.5%  89.9%      90.0%   89.9%                    Total rentable square feet  45,244         45,244                        Realized annual rent per occupied square foot (3) $22.81  $22.70  0.5%   $22.54  $22.40  0.6%                  Reconciliation of Same-Store Net Operating Income to Net Income                                   Same-store net operating income (2) $172,640  $169,044     $504,980  $505,082   Non same-store net operating income (2)  9,659   8,412      28,051   21,358   Indirect property overhead (4)  15,880   16,776      47,477   51,169   Depreciation and amortization  (55,947)  (66,688)     (173,224)  (192,332)  General and administrative expense  (16,502)  (16,506)     (50,937)  (47,471)  Interest expense on loans  (31,082)  (29,380)     (91,254)  (84,570)  Loan procurement amortization expense  (1,049)  (1,258)     (3,213)  (3,700)  Equity in earnings of real estate ventures  604   648      1,767   1,574   Gain from sale of real estate, net  -   -      2,503   -   Other  108   1,368      371   2,483                     Net income $94,311  $82,416     $266,521  $253,593    (1)For comparability purposes, current year amounts related to the expiration of certain real estate tax abatements have been excluded from the same-store portfolio results ($207k and $618k for the three and nine months ended September 30, 2026, respectively).(2)Net operating income (“NOI”) is a non-GAAP (“generally accepted accounting principles”) financial measure. The above table reconciles same-store NOI to GAAP Net income.(3)Realized annual rent per occupied square foot is calculated by dividing annualized rental income by the weighted average occupied square feet for the period.(4)Includes property management fee income earned in conjunction with managed properties.   Non-GAAP Measure – Computation of Funds From Operations
(in thousands, except percentages and per share and unit data)
(unaudited)                Three Months Ended  Nine Months Ended   September 30, September 30,   2026 2025 2026
 2025               Net income attributable to the Company's common shareholders $94,355 $82,930 $266,827  $255,087               Add (deduct):             Real estate depreciation and amortization:             Real property  54,036  64,207  167,567   185,014 Company's share of unconsolidated real estate ventures  1,533  1,438  4,504   4,681 Gain from sale of real estate, net (1)  —  —  (2,503)  — Net income attributable to noncontrolling interests in the Operating Partnership  411  396  1,163   1,250               FFO attributable to the Company's common shareholders and third-party OP unitholders $150,335 $148,971 $437,558  $446,032               Add:             Loss on early extinguishment of debt (2)  -  -  59   -               FFO, as adjusted, attributable to the Company's common shareholders and third-party OP unitholders $150,335 $148,971 $437,617  $446,032               Basic earnings per share attributable to common shareholders $0.42 $0.36 $1.18  $1.12 Diluted earnings per share attributable to common shareholders $0.42 $0.36 $1.17  $1.11 FFO per diluted share and unit $0.66 $0.65 $1.92  $1.94 FFO, as adjusted per diluted share and unit $0.66 $0.65 $1.92  $1.94               Weighted average basic shares outstanding  225,637  228,791  226,732   228,731 Weighted average diluted shares outstanding  226,109  229,295  227,166   229,237 Weighted average diluted shares and units outstanding  227,093  230,398  228,151   230,366               Dividends per common share and unit $0.53 $0.52 $1.59  $1.56 Payout ratio of FFO, as adjusted  80.3% 80.0% 82.8 % 80.4% (1)Relates to a gain from the sale of a land parcel adjacent to a Company store.(2)Relates to the write-off of unamortized loan procurement costs associated with the Company’s amendment and restatement of its unsecured revolving credit facility.

CARLSBAD, Calif., Oct. 29, 2026 (GLOBE NEWSWIRE) -- Viasat, Inc. (NASDAQ: VSAT), a global leader in satellite communications technology, today announced it will release its second quarter fiscal year 2027 financial results on Thursday, November 5, 2026, after market close. Results will be provided in a letter to shareholders, which will be posted to the Investor Relations section of the Company’s website.

Viasat will also host a conference call and webcast on Thursday, November 5, 2026, at 2:30 p.m. Pacific Time / 5:30 p.m. Eastern Time to discuss results.

To participate on the live conference call, please dial (800) 715-9871 (toll-free in the U.S. and Canada) or (646) 307-1963, and reference conference ID 7750494.

A live webcast will be available in Viasat’s Investor Relations section of Viasat’s website. A replay of the webcast will be archived following the conference call.

About Viasat 
Viasat is a global technology company that believes everyone and everything in the world can be connected. With offices in 24 countries around the world, our mission shapes how consumers, businesses, governments and militaries around the world communicate and connect. Viasat is developing the ultimate global communications network to power high-quality, reliable, secure, affordable, fast connections to positively impact people's lives anywhere they are—on the ground, in the air or at sea, while building a sustainable future in space. In May 2023, Viasat completed its acquisition of Inmarsat, combining the teams, technologies and resources of the two companies to create a new global communications partner. Learn more at www.viasat.com, the Viasat News Room or follow us on LinkedIn, X, Instagram, Facebook, Bluesky, Threads, and YouTube.

Copyright © 2026 Viasat, Inc. All rights reserved. Viasat, the Viasat logo and the Viasat Signal are registered trademarks in the U.S. and in other countries of Viasat, Inc. All other product or company names mentioned are used for identification purposes only and may be trademarks of their respective owners. 

Viasat, Inc. Contacts
David Pendery, Corporate Communications, [email protected]
Lisa Curran / Peter Lopez, Investor Relations, [email protected]

Targa Resources Corp. is a major NGL infrastructure player with strong macro tailwinds but an overleveraged balance sheet. TRGP benefits from robust demand forecasts for natural gas and NGLs, highlighted by a 20-year deal with ExxonMobil and favorable U.S. Gulf Coast export dynamics. Despite segment margin strength and macro growth, TRGP's debt metrics—81.4% LT Debt/Total Capital and 516% Debt/Equity—are materially above sector norms.

, /PRNewswire/ -- Weyerhaeuser Company (NYSE: WY) today reported its third quarter 2026 financial results. The company's earnings release and associated materials are available on the Investors section of the company's website, www.weyerhaeuser.com. In addition, the earnings release has been furnished on a Form 8-K with the U.S. Securities and Exchange Commission and is available at www.sec.gov.

EARNINGS CALL INFORMATION
The company will hold a live webcast and conference call at 7 a.m. Pacific (10 a.m. Eastern) on October 30, 2026, to discuss third quarter results. To access the live webcast and presentation online, visit the Investors section on www.weyerhaeuser.com on October 30, 2026.

To join the conference call from within North America, dial 877-407-0792 (access code: 13755109) at least 15 minutes prior to the call. Those calling from outside North America should dial 201-689-8263 (access code: 13755109). Replays will be available for two weeks at 844-512-2921 (access code: 13755109) from within North America, and at 412-317-6671 (access code: 13755109) from outside North America.

ABOUT WEYERHAEUSER
Weyerhaeuser Company, one of the world's largest private owners of timberlands, began operations in 1900 and today owns or controls more than 10 million acres of timberlands in the U.S., as well as additional public timberlands managed under long-term licenses in Canada. Weyerhaeuser has been a global leader in sustainability for more than a century and manages 100 percent of its timberlands on a fully sustainable basis in compliance with internationally recognized sustainable forestry standards. Weyerhaeuser is also one of the largest manufacturers of wood products in North America and operates additional business lines around product distribution, climate solutions, real estate, and energy and natural resources, among others. In 2025, the company generated $6.9 billion in net sales and employed approximately 9,500 people who serve customers worldwide. Operated as a real estate investment trust, Weyerhaeuser's common stock trades on the New York Stock Exchange under the symbol WY. Learn more at www.weyerhaeuser.com.

For more information contact:
Analysts – Andy Taylor, 206-539-3907
Media – Nancy Thompson, 919-861-0342

SOURCE Weyerhaeuser Company

 | Source: Dynagas LNG Partners LP

ATHENS, Greece, Oct. 29, 2026 (GLOBE NEWSWIRE) -- Dynagas LNG Partners LP (NYSE: “DLNG”) (the “Partnership”), an owner of liquefied natural gas carriers, announced today that its Board of Directors (the “Board”) has scheduled the Partnership’s 2026 Annual Meeting of Limited Partners (the “Meeting”) to be held on November 27, 2026 at 4:00 p.m., local time, at Poseidonos Avenue and Foivis 2 Street, 166-74 Glyfada, Athens, Greece. The Board has fixed a record date of October 27, 2026 (the “Record Date”) for the determination of the Limited Partners entitled to receive notice of and to vote at the Meeting or any adjournment thereof.

The Partnership’s Notice of the Meeting and Proxy Statement will be mailed on or about October 29, 2026 to Limited Partners of record as of the Record Date and will be furnished to the U.S. Securities and Exchange Commission (the “Commission”) and available on the Commission’s website at www.sec.gov. The Notice of the Meeting and Proxy Statement and the Partnership’s 2025 Annual Report are also available on the Partnership’s website at www.dynagaspartners.com.

Contact Information:
Dynagas LNG Partners LP
Attention: Michael Gregos
Tel. +30 210 8917960
Email: [email protected]

Investor Relations/ Financial Media:
Nicolas Bornozis / Markella Kara
Capital Link, Inc.
230 Park Avenue, Suite 1540
New York, NY 10169
Tel. (212) 661-7566
E-mail: [email protected]

, /PRNewswire/ -- The Otis Worldwide Corporation (NYSE: OTIS) Board of Directors today declared a quarterly dividend of $0.44 per share of Otis' common stock. The dividend will be payable on December 11, 2026, to shareholders of record at the close of business on November 13, 2026.

About Otis

Otis gives people freedom to connect and thrive in a taller, faster, smarter world. The global leader in the manufacture, installation, service and modernization of elevators and escalators, we move 2.5 billion people a day and maintain approximately 2.5 million customer units worldwide – the industry's largest Service portfolio. You'll find us in the world's most iconic structures, as well as residential and commercial buildings, transportation hubs and everywhere people are on the move. Headquartered in Connecticut, USA, Otis is 72,000 people strong, including 45,000 field professionals, all committed to manufacturing, installing and maintaining products to meet the diverse needs of our customers and passengers in more than 200 countries and territories. To learn more, visit www.otis.com and follow us on LinkedIn, YouTube, Instagram and Facebook @OtisElevatorCo.

Cautionary Statement

This release includes statements related to anticipated earnings, cash flow and dividends that constitute "forward-looking statements" under the securities laws. All forward-looking statements involve risks, uncertainties and assumptions that may cause actual results to differ materially from those expressed or implied in the forward-looking statements. Past dividends provide no assurance as to future dividends. The payment and amount of future dividends could vary significantly from past amounts due to a number of risks and uncertainties. Risks and uncertainties include: (1) the effect of economic conditions in the industries and markets in which Otis and its businesses operate in the U.S. and globally and any changes therein, including financial market conditions, fluctuations in commodity prices, interest rates and foreign currency exchange rates, future availability of credit and factors that may affect such availability or costs (including tighter credit conditions), levels of end market demand in construction, pandemic health issues, natural disasters and the financial condition of Otis' customers and suppliers; (2) risks associated with indebtedness; (3) challenges in the development and production of new products and services; and (4) the effect of changes in laws and regulations, political conditions and geopolitical conflicts in countries in which we operate and other factors beyond our control. The above list of factors is not exhaustive or necessarily in order of importance. For additional information on identifying factors that may cause actual results to vary from those stated in forward-looking statements, see the reports of Otis on Forms 10-K, 10-Q and 8-K filed with or furnished to the SEC from time to time. Any forward-looking statement speaks only as of the date on which it is made, and Otis 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.

SOURCE Otis Worldwide Corporation

VICI Properties authorized a $2 billion share buyback, representing 7.7% of shares, capitalizing on a 29% discount to intrinsic value. VICI's AFFO per share has grown consistently, with 2026 guidance at $2.475, and the payout ratio has declined to 74%, enhancing retained cash for buybacks. Despite a non-cash credit-loss allowance increase tied to Caesars, AFFO and dividends remain unaffected, and leverage stays within management's 5.0x–5.5x target.

New York, New York--(Newsfile Corp. - October 29, 2026) - Kaplan Fox & Kilsheimer LLP is investigating potential securities violations against LKQ Corporation ("LKQ Corp" or the "Company") (NASDAQ: LKQ).

CLICK HERE TO RECEIVE MORE INFORMATION ABOUT THIS INVESTIGATION

If you are a LKQ Corp investor and have suffered losses, or if you have information that could assist in the LKQ Corp investigation, you may CLICK HERE to contact us. You may also contact Kaplan Fox by emailing [email protected] or by calling (646) 315-9003.

On October 23, 2026, LKQ Corp reported preliminary third quarter 2026 results, as well as "leadership and operational actions," including the immediate departure of Justin Jude as CEO. The Company revealed a "[n]et loss of $16 million to $32 million, including $111 million of non-cash impairment charges" and withdrew its full-year 2026 guidance. According to the press release "the third quarter results primarily reflect underperformance in the Europe segment, including operational disruptions associated with the ERP implementation in Germany and volume declines in the United Kingdom and Benelux."

Following this news, the price of LKQ Corp stock fell $5.05 per share, or 22.47%, to close at $17.42 per share on October 23, 2026.

CLICK HERE TO LEARN MORE

WHY CONTACT KAPLAN FOX?

Kaplan Fox & Kilsheimer LLP is a nationally recognized law firm focused on complex litigation, with offices in New York, Oakland, Los Angeles, Chicago, and New Jersey. Founded in 1956, the firm has spent more than 50 years prosecuting securities, antitrust, and consumer protection actions in federal and state courts nationwide, recovering more than $10 billion for clients and the classes it has represented.

Kaplan Fox is widely regarded as one of the nation's premier plaintiffs' securities litigation firms and has received recognition from Chambers and Partners, Benchmark Litigation, Super Lawyers, and Lawdragon. Serving as lead or co-lead counsel in many landmark cases, the firm has secured some of the largest recoveries in the history of securities litigation, including a $2.425 billion recovery on behalf of Bank of America shareholders in In re Bank of America—the largest recovery ever obtained for claims under Section 14(a) of the Securities Exchange Act—$800 million recovered for the Arkansas Teacher Retirement System and other pension funds in ATRS v. Allianz Global Investors, and a $475 million settlement in In re Merrill Lynch.

For decades, Kaplan Fox has represented public pension funds, institutional investors, businesses, and individuals in high-stakes litigation. Through its successful advocacy and precedent-setting victories, the firm has helped shape important areas of securities and corporate law while advancing accountability and protecting investor interests.

This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules. Past results do not guarantee future outcomes.

If you have any questions about this investigation, please contact:

Contacting or submitting information to Kaplan Fox & Kilsheimer LLP does not create an attorney-client relationship, nor an obligation on the part of Kaplan Fox to retain you as a client.

https://www.kaplanfox.com/case/investors-of-lkq-lkq-class-action/

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/321655

Source: Kaplan Fox & Kilsheimer LLP

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Staking revenue of $2.1 million for the quarter and $6.8 million for the first nine months of 2026Net income of $50.4 million, or $0.23 per basic and diluted share, driven by a $58.8 million non-cash unrealized gain on digital assets as the price of SKY increased approximately 49%SKY position grew to 2.32 billion tokens, representing approximately 10% of total SKY supplyReceived approximately $45.9 million of net proceeds under the at-the-market offering program (the “ATM Program”) subsequent to quarter end; no debt and no warrant liabilities WEST PALM BEACH, Fla., Oct. 29, 2026 (GLOBE NEWSWIRE) -- Stablecoin Development Corporation (NYSE American: SDEV) (the “Company” or “SDEV”), an on-chain holding company focused on long-duration participation in protocol-aligned digital asset ecosystems and providing public market access to the stablecoin economy, today reported financial results for the third quarter and nine months ended September 30, 2026. The Company filed its Quarterly Report on Form 10-Q with the Securities and Exchange Commission today.

“Third quarter results reflect both drivers of our SKY position: price appreciation and staking rewards,” said Michael Kazley, Chief Executive Officer and Chairman of SDEV. “The approximately 49% increase in the price of SKY during the quarter drove a $58.8 million non-cash unrealized gain and net income of $50.4 million, and our staked position earned 34.6 million SKY in rewards, bringing our holdings to 2.32 billion tokens, or approximately 10% of total supply. Our SKY holdings remain unencumbered. Subsequent to quarter end, we received approximately $45.9 million of net proceeds through our ATM Program, building on a balance sheet with no debt and no warrant liabilities.”

Mr. Kazley continued, “We believe the fundamentals of the Sky Protocol ecosystem remain attractive, and SDEV offers public market access to that ecosystem. With no debt and a lean cost base, we believe we are positioned to continue executing with discipline and to evaluate opportunities, within the framework approved by our Board, that build long-term value for our shareholders.”

Third Quarter 2026 Highlights

Staking revenue of $2.1 million. Staking revenue was $2.1 million for the quarter and $6.8 million for the first nine months of 2026, reflecting rewards earned on the Company’s staked SKY holdings within the Sky Protocol ecosystem.Net income of $50.4 million, or $0.23 per basic and diluted share. The Company reported operating income of $56.0 million and net income of $50.4 million for the third quarter, driven by a $58.8 million non-cash unrealized gain on digital assets as the market price of SKY increased approximately 49% during the quarter. Net income reflects $5.6 million of income tax expense, substantially all of which is non-cash deferred income tax expense on the unrealized gain, which is not taxable until realized. No SKY tokens were sold during the quarter.SKY position of 2.32 billion tokens. The Company held 2,321,079,862 SKY tokens as of September 30, 2026, representing approximately 10% of total SKY supply, with a fair value of $180.2 million and a cost basis of $149.3 million.Earned 34.6 million SKY in staking rewards. The Company received 34,568,488 SKY tokens as staking rewards during the quarter, bringing cumulative staking rewards to 101,701,388 SKY tokens. The Company did not purchase or sell any SKY tokens during the quarter, and substantially all of its holdings remained staked in the Sky Protocol.No debt and no warrant liabilities. Total liabilities were $6.1 million at September 30, 2026, consisting primarily of a non-cash net deferred tax liability of $5.6 million, with no debt and no warrant liabilities outstanding. The January 2026 Pre-Funded Warrants, which are classified in stockholders’ equity, remained outstanding.Expanded the Board of Directors. On September 2, 2026, in connection with Sky Frontier Foundation’s designation of its nominee under the Investors’ Rights Agreement entered into in connection with the January 2026 Private Placement, the Board increased its size from five to six directors and appointed David Garcia Rios as an independent Class II director, and chartered the Investment Advisory Committee to provide strategic guidance, risk oversight, and expert recommendations to the Board with respect to the Company’s investment strategy. A summary of the Company’s SKY holdings as of October 26, 2026 appears under “Subsequent Events” below.

Third Quarter 2026 Financial Results

Staking revenue. Staking revenue was $2.1 million for the three months ended September 30, 2026 and $6.8 million for the nine months ended September 30, 2026, reflecting rewards earned on the Company’s SKY holdings through on-chain staking within the Sky Protocol ecosystem. Staking rewards are received in the form of SKY tokens.

Unrealized gain on digital assets. The Company recognized a non-cash unrealized gain on digital assets of $58.8 million for the third quarter and $30.9 million for the first nine months of 2026, reflecting an increase in the market price of SKY from $0.05215 per token at June 30, 2026 to $0.07764 per token at September 30, 2026. As a result, the Company’s SKY holdings moved from a cumulative unrealized loss at June 30, 2026 to a cumulative unrealized gain of $30.9 million at September 30, 2026. The Company did not sell or otherwise dispose of any SKY tokens during these periods. The unrealized gain is a non-cash accounting item and does not affect the Company’s cash position.

General and administrative expenses. General and administrative expenses were $5.0 million for the third quarter and $13.3 million for the first nine months of 2026. Third-quarter expenses included approximately $3.3 million of non-cash stock-based compensation, resulting in cash operating expenses, a non-GAAP measure (see “Non-GAAP Financial Measures” below), of approximately $1.8 million, compared with the Company’s staking revenue of $2.1 million for the quarter. Nine-month expenses included approximately $6.5 million of non-cash stock-based compensation, resulting in cash operating expenses of approximately $6.8 million, approximately equal to the Company’s staking revenue for the period.

Income tax expense. Income tax expense was $5.6 million for the third quarter and for the first nine months of 2026, substantially all of which is non-cash deferred income tax expense attributable to the unrealized gain on the Company’s SKY holdings recognized during the quarter. The unrealized gain is not taxable until realized and gave rise to a net deferred tax liability of $5.6 million as of September 30, 2026. The non-cash fair value gains and losses recognized in the first nine months of 2026 on the Company’s liability-classified pre-funded warrants are not recognized for income tax purposes and, accordingly, did not result in income tax expense. These amounts relate to the January 2026 Pre-Funded Warrants through their reclassification to equity in the first quarter of 2026 and the October 2025 Pre-Funded Warrants through their exercise in June 2026.

Net income. Net income for the third quarter of 2026 was $50.4 million, or $0.23 per basic and diluted share, after $5.6 million of income tax expense. For the first nine months of 2026, the Company reported GAAP net income of $561.7 million, or $3.33 per basic share and $2.65 per diluted share. Nine-month GAAP net income was driven almost entirely by non-cash warrant fair value items: a $5.3 billion non-cash day-one loss recognized on the January 2026 Pre-Funded Warrants, offset by approximately $5.8 billion of non-cash fair value gains on the Company’s pre-funded warrants through the dates on which they were reclassified to equity or exercised, for a net non-cash gain of approximately $544.3 million. These non-cash items are not indicative of the Company’s operating performance or cash flows. Shares of common stock issuable upon exercise of the January 2026 Pre-Funded Warrants and the October 2025 Pre-Funded Warrants, which are exercisable for nominal consideration, are included in the weighted average number of common shares outstanding used to compute basic net income per share beginning March 12, 2026, the date the Company obtained stockholder approval for the issuance of the underlying shares. As a result, diluted net income per share for the third quarter approximates basic net income per share.

SKY Holdings and Staking Activity

As of September 30, 2026, the Company held 2,321,079,862 SKY tokens, representing approximately 10% of the total supply of SKY, with a cost basis of $149.3 million and a fair value of $180.2 million. Substantially all of the Company’s SKY holdings were deployed in staking activities within the Sky Protocol ecosystem, and the Company’s staked SKY carries governance voting rights in the Sky Protocol.

Since the closing of the January 2026 Private Placement, SDEV has acquired approximately 1.3 billion additional SKY tokens through open market purchases at an average purchase price of approximately $0.066 per SKY token, in addition to tokens received as staking rewards. The Company holds its SKY as a long-term strategic position and has not monetized any SKY to date.

Balance Sheet and Capital Structure

As of September 30, 2026, the Company had cash and cash equivalents of $7.2 million and digital assets carried at fair value of $180.2 million and total assets of $188.2 million. Total liabilities were $6.1 million, consisting primarily of a net deferred tax liability of $5.6 million arising from the unrealized gain on the Company’s SKY holdings, and the Company had no warrant liabilities and no debt outstanding. Total stockholders’ equity was $182.2 million, and the Company had 51,751,359 shares of common stock outstanding. The January 2026 Pre-Funded Warrants, which are classified in stockholders’ equity, remained outstanding for 167,539,227 shares of common stock.

During the third quarter of 2026, the Company sold 1,160,636 shares of common stock under the ATM Program for net proceeds of approximately $1.3 million. During the first nine months of 2026, the Company sold 3,854,399 shares of common stock under the ATM Program for net proceeds of approximately $16.5 million, after deducting sales agent commissions and other offering costs. As of September 30, 2026, approximately $83.2 million of common stock remained available for issuance under the ATM Program.

Subsequent Events

SKY Holdings Summary (as of October 26, 2026). Subsequent to September 30, 2026 and through October 26, 2026, the Company continued to earn staking rewards on its SKY holdings and did not purchase, sell or otherwise dispose of any SKY tokens. As of October 26, 2026, the Company held approximately 2.33 billion SKY tokens, representing approximately 10% of total SKY supply, substantially all of which remained staked in the Sky Protocol; cumulative staking rewards received totaled approximately 111.7 million SKY tokens. Based on the price of SKY as of midnight UTC on October 26, 2026, as reported on Coinbase Exchange, of $0.06761 per SKY token, the aggregate market value of the Company’s SKY holdings as of October 26, 2026 was approximately $157.6 million. The price of SKY decreased approximately 13% from $0.07764 per token at September 30, 2026 to $0.06761 per token at October 26, 2026. These amounts are unaudited. The market value of the Company’s SKY holdings will continue to fluctuate, potentially significantly, with the market price of SKY and the number of tokens held, and the price of SKY as of any future date may be substantially lower.

ATM Program. Subsequent to September 30, 2026 and through October 26, 2026, the Company sold an aggregate of 15,801,547 shares of common stock under the ATM Program for aggregate net proceeds of approximately $45.9 million. As of October 26, 2026, approximately $36.4 million of common stock remained available for issuance under the ATM Program.

Pre-Funded Warrants. On October 13, 2026, Tether Investments, S.A. de C.V. exercised a portion of its January 2026 Pre-Funded Warrant on a cashless basis with respect to 5,743,762 shares of common stock. The Company withheld 197,652 shares in payment of the exercise price, resulting in the net issuance of 5,546,110 shares of common stock. On October 16, 2026, the second tranche, representing 30% of the total shares issuable, of the January 2026 Pre-Funded Warrants became exercisable in accordance with their terms. As of October 26, 2026, the Company had 73,117,016 shares of common stock outstanding, and the January 2026 Pre-Funded Warrants remained outstanding for 161,795,465 shares of common stock, subject to the beneficial ownership limitations applicable to the warrants.

Non-GAAP Financial Measures

This press release refers to cash operating expenses, a non-GAAP financial measure that represents the Company’s general and administrative expenses excluding non-cash stock-based compensation. The most directly comparable GAAP measure is general and administrative expenses. For the three months ended September 30, 2026, general and administrative expenses were $5.0 million, which included approximately $3.3 million of non-cash stock-based compensation, resulting in cash operating expenses of approximately $1.8 million. For the nine months ended September 30, 2026, general and administrative expenses were $13.3 million, which included approximately $6.5 million of non-cash stock-based compensation, resulting in cash operating expenses of approximately $6.8 million. Amounts are rounded and may not sum. The Company presents this measure because it believes it provides useful supplemental information to investors regarding the Company’s recurring cash operating cost base and the extent to which staking revenue offsets those cash costs.

This non-GAAP measure has limitations as an analytical tool, is not calculated in accordance with GAAP, and should not be considered in isolation from, or as a substitute for, the Company’s GAAP results. In addition, this non-GAAP measure may not be comparable to similarly titled measures reported by other companies. Staking rewards are received in the form of SKY tokens; accordingly, the coverage of cash operating expenses by staking revenue described in this press release is realized in cash only to the extent the Company monetizes such tokens. The Company did not sell any SKY tokens during the periods presented.

About the Sky Protocol

Sky Protocol is a decentralized finance platform that evolved from MakerDAO, one of the earliest projects in the digital asset ecosystem. The protocol is implemented through open-source smart contracts deployed on the Ethereum blockchain and enables the creation and use of USDS, a decentralized stablecoin designed to maintain a soft peg to the U.S. dollar, and serves as foundational financial infrastructure for lending, savings, and on-chain capital markets. SKY is the governance token of the Sky Protocol ecosystem; holders participate in protocol governance through an open, on-chain voting process. The protocol generates revenue from borrowing fees and other economic activity, a portion of which is used to fund open-market buybacks of SKY tokens that are allocated between distributions to staking participants, including the Company, and the protocol’s surplus buffer. The maximum and total supply of SKY is approximately 23.46 billion tokens. Financial and operational information about the Sky Protocol is published by the Sky ecosystem at insights.skyeco.com. The Company does not control that information, which is not incorporated into this press release.

Channels for Disclosure of Information

The Company intends to announce material information to the public through filings with the SEC, the investor relations page of its website (www.stabledev.com), press releases, public conference calls, public webcasts, its X (Twitter) account (@StableDev), and its LinkedIn page. The information disclosed through the foregoing channels could be deemed to be material information. The Company encourages investors, the media, and others to follow the channels listed above and to review the information disclosed through such channels.

About Stablecoin Development Corporation

Stablecoin Development Corporation (NYSE American: SDEV) is an on-chain holding company focused on long-duration participation in protocol-aligned digital asset ecosystems and providing public market access to the stablecoin economy. The Company’s initial digital asset focus is the Sky Protocol ecosystem, with SKY as its core holding. Through staking and other on-chain activities, the Company seeks to generate protocol-level economic exposure while maintaining governance, risk management, and public-company discipline. The Company is headquartered in West Palm Beach, Florida. For more information, please visit www.stabledev.com.

Forward-Looking Statements

This press release contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the Company’s strategy and capital allocation; its plans to hold, stake, and potentially monetize SKY tokens and other digital assets; the sufficiency of staking revenue to cover operating costs; the market value of the Company’s SKY holdings as of dates subsequent to quarter-end; the anticipated recognition of changes in fair value in future periods; its views regarding the stablecoin economy and related infrastructure; the variability of staking rewards and protocol governance parameters; its intentions regarding future SKY token acquisitions; and statements regarding the Sky Protocol ecosystem, including protocol revenue, surplus, reserves and stablecoin supply metrics. These statements are based on management’s current expectations and involve known and unknown risks and uncertainties, including risks related to the volatility of digital asset markets (including the price of SKY, which may decline substantially from the levels described herein), the concentration of the Company’s assets in a single digital asset, regulatory developments, changes in protocol governance parameters, cybersecurity and custody risks, the impact of non-cash fair value adjustments on reported results, the liquidity of SKY tokens and potential market impact of large transactions, dilution from the exercise of outstanding pre-funded warrants and sales under the ATM Program, limitations on the Company’s ability to access the capital markets and to maintain its NYSE American listing, the unremediated material weakness in the Company’s internal control over financial reporting, and the other risks described in the Company’s Annual Report on Form 10-K for the year ended December 31, 2025, as amended, its Quarterly Report on Form 10-Q for the quarter ended September 30, 2026, and its other SEC filings, including its Current Report on Form 8-K filed October 5, 2026. Actual results may differ materially. SDEV undertakes no obligation to update forward-looking statements except as required by law.

Company Contact

Investor Relations
Stablecoin Development Corporation
[email protected]

Company provides additional detail on financial impact of previously announced commercial actions

Third Quarter 2026 Highlights

Revenue of $106 million, down $436 million versus Q3 2025, including an approximately $639 million negative impact from previously announced commercial actionsConsolidated GAAP net loss of $2.07 billion, a decline of $1.50 billion versus Q3 2025 driven by non-cash adjustments recorded in connection with deferred tax assets and intangible assets, as well as the commercial actionsAdjusted EBITDA of negative $559 million, down $795 million versus Q3 2025, including an approximately $672 million negative impact from the commercial actionsConsolidated GAAP net loss of $15.54 per diluted share, down $11.02 versus Q3 2025Adjusted loss per diluted share of $4.41, down $5.30 versus Q3 2025GAAP cash from operations of $7 million, an increase of $191 million versus Q3 2025Free cash flow of negative $18 million, an improvement of $214 million versus Q3 2025Outlook1

Fourth quarter revenue excluding India lowered to a range of $1.04 billion to $1.14 billion, essentially flat at the midpoint versus 2025Fourth quarter Adjusted EBITDA lowered to a range of $210 million to $230 million, a decline of 22 percent at the midpointFourth quarter Adjusted earnings per diluted share lowered to a range of $0.56 to $0.70, a decline of 48 percent at the midpointFull year free cash flow now expected to be negative $350 million to negative $150 million, /PRNewswire/ --

FMC Corporation (NYSE: FMC) today reported third-quarter 2026 revenue of $106 million, compared with $542 million in the prior-year period. Third-quarter sales include a $639 million negative impact from the commercial actions announced on October 15, 2026, to modify the company's pricing and rebate model in North America and to address select higher-priced products held by channel customers in key markets.

"We are taking significant action to address elevated inventory values in the channel and improve the movement of FMC products to growers," said Pierre Brondeau, chairman, chief executive officer and president. "Our third-quarter results reflected both the substantial impact of these actions and weaker than expected demand. Our priority now is disciplined execution with our customers. We believe completing this work, together with the progress across our operational priorities, positions FMC for improved performance in 2027 and a stronger growth and earnings profile in 2028."

FMC Revenue

Q3 2026

Total Revenue Change (GAAP)

(80) %

      Less: Revenue for India held for sale business

9 %

Total Revenue Change (ex-India) (Non-GAAP)

(89) %

Less Commercial Actions

67 %

Like-for-Like Revenue Change (Before Commercial Actions) (Non-GAAP)

(22) %

Totals may not sum due to rounding

Third-quarter revenue, excluding India and the commercial actions, was $745 million, a decline of 22 percent versus the prior-year period which excluded India. Volume declined 21 percent due to challenging market conditions with channel customers in several key markets sharply reducing replenishment orders during the final weeks of the quarter. Price declined 2 percent. Foreign currency was a 1 percent tailwind.

FMC Regional Revenue ($M)

Q3 2026

Q3 2025

North America

(371)

244

Latin America

264

463

EMEA

121

155

Asia (excluding 2026 India)1

91

99

2026 India1

0

(419)

Total Revenue (GAAP)

106

542

Totals may not sum due to rounding

GAAP net loss was $2.07 billion, compared with a net loss of $569 million in the prior-year period, primarily due to non-cash adjustments recorded in connection with deferred tax assets and intangible assets, as well as the commercial actions taken in the third quarter. Third-quarter Adjusted EBITDA was negative $559 million, compared with $236 million in the prior-year period. Excluding the approximately $672 million negative impact of the commercial actions, underlying Adjusted EBITDA was $113 million.  This result was lower than the prior year with lower sales and an FX headwind partially offset by favorable costs.

On a GAAP basis, cash from operations was $7 million, compared to negative $184 million in the prior-year period. Free cash flow was negative $18 million including $23 million for restructuring spend.  The free cash flow improvement of $214 million versus third quarter 2025 is mainly due to favorable working capital dynamics.

Commercial Actions Update

The commercial actions announced on October 15 resulted in a total third-quarter negative impact of approximately $639 million to revenue and $672 million negative impact to Adjusted EBITDA. These actions were taken to address the elevated value of FMC inventory held by channel customers in key markets as they seek to operate with very low inventory values in response to high financing costs, the perception of ample supply and demand uncertainty. This creates a specific constraint for FMC, driven by two distinct issues: the existing price and rebate model in North America and select products already in the channel at prices above current market levels.

Approximately $500 million of the Adjusted EBITDA impact relates to the transition to a new pricing and rebate model in North America, which is intended to significantly reduce the gap between gross and net pricing. This amount consists of two components.

The first and larger component reflects the pricing and rebate adjustments associated with the transition to the new model. Under the previous model, rebates for the market year ended September 30 were paid in the fourth quarter, offset in part by continued fourth-quarter sales at the higher gross price. With the new model effective October 1, that cycle will not continue. As a result, the remaining adjustment to close out the historical model is reflected in third-quarter results.

The second component reflects adjustments needed to bring inventory already in the North America channel from the historic higher gross price to a price closer to the expected net price under the new model. FMC expects the new model to materially reduce the volatility associated with future rebate payments. It should also provide a simpler pricing structure for FMC and its customers, while allowing customers to manage the value of FMC inventory more closely with current market conditions.

The remaining approximately $175 million of the impact reflects pricing adjustments made on high-priced products held by channel customers in Brazil, the United States, Canada and Argentina.  These pricing adjustments are intended to support movement of the affected products downstream and future demand across the FMC portfolio. The adjustments apply only to products already held by channel customers and do not change FMC's current selling prices. The adjustments do not impact current period cash and are the only component of the Adjusted EBITDA charge expected to reduce future cash collections.

The estimated third-quarter financial impact of both actions is reflected in the company's reported results; however, implementation is ongoing. Discussions with customers are underway, and FMC expects the transition to occur over the next three quarters.

Commercial Action

Approximate Split of
EBITDA Charge

Cash Impact

Change in North America pricing and rebate model

Transition to new pricing modelImpact of adjusting gross price of existing channel inventory~$500 million

No change to forward
cash obligation

Reducing the price of high-priced products in
Brazil, Argentina, the U.S. and Canada to better
align value of that customer inventory to current
market pricing

~$175 million

Foregoing of future
cash collection of
subsequent quarters

Outlook1

Fourth-quarter revenue, excluding India, is expected to be in the range of $1.04 billion to $1.14 billion, essentially flat at the midpoint versus fourth-quarter 2025. A high-single digit price decline is expected to be offset by volume growth driven by increased direct-to-grower sales in Brazil, growth of new products and more competitive pricing of FMC products.   

Adjusted EBITDA is forecasted to be in the range of $210 million to $230 million, a decline of 22 percent at the midpoint versus the prior-year period.  Higher volume and cost favorability are expected to be more than offset by lower price and an FX headwind. FMC expects adjusted earnings per diluted share to be in the range of $0.56 to $0.70, a decline of 48 percent at the midpoint versus fourth-quarter 2025, mainly due to lower EBITDA and an increased share count following the investment from Tessenderlo Group which closed in September.

The company has updated its full-year 2026 outlook, including commercial actions, to reflect third-quarter results and revised fourth-quarter expectations. Full-year revenue, excluding India, is expected to be in the range of $2.75 billion to $2.85 billion, a decline of 28 percent at the midpoint versus 2025, excluding India from the prior-year period. Adjusted EBITDA is expected to be in the range of negative $124 million to negative $104 million, a decline of 114 percent at the midpoint versus 2025. Adjusted earnings per diluted share is expected to be in the range of negative $3.66 to negative $3.50, a decline of 221 percent at the midpoint versus the prior year.

Free cash flow is expected to be in the range of negative $350 million to negative $150 million. This includes approximately $180 million of restructuring spend.  The reduction versus prior guidance is mainly due to lower demand and the impacts of the commercial actions taken in Q3.

Full Year Outlook2

(excludes India)

Fourth Quarter Outlook2

(excludes India)

Revenue

$2.75 billion to

$2.85 billion

$1.04 billion to

$1.14 billion

Growth at midpoint vs. 2025

(28) %

0 %

Adjusted EBITDA

$(124) million to

$(104) million

$210 million to

$230 million

Growth at midpoint vs. 2025

(114) %

(22) %

Adjusted EPS^

$(3.66) to $(3.50)

$0.56 to $0.70

Growth at midpoint vs. 2025

(221) %

(48) %

^ EPS estimates assume 156.0 million diluted shares for Q4 and 135.2 million diluted shares for full year

*Percentages are calculated using whole numbers.  Minor differences may exist due to rounding. 

Supplemental Information

The company will post supplemental information on the web at https://investors.fmc.com, including its webcast slides for tomorrow's earnings call, definitions of non-GAAP terms and reconciliations of non-GAAP figures to the nearest available GAAP term.

Always read and follow all label directions, restrictions and precautions for use. Products listed here may not be registered for sale or use in all states, countries or jurisdictions. FMC and the FMC logo are trademarks of FMC Corporation or an affiliate.

About FMC

FMC Corporation is a global agricultural sciences company dedicated to helping growers produce food, feed, fiber and fuel for an expanding world population while adapting to a changing environment. FMC's innovative crop protection solutions – including biologicals, crop nutrition, digital and precision agriculture – enable growers and crop advisers to address their toughest challenges economically while protecting the environment. FMC is committed to discovering new herbicide, insecticide and fungicide active ingredients, product formulations and pioneering technologies that are consistently better for the planet. Visit fmc.com to learn more and follow us on LinkedIn®.

Statement under the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995:  FMC and its representatives may from time to time make written or oral statements that are "forward-looking" and provide other than historical information, including statements contained in this press release, in FMC's other filings with the SEC, and in presentations, reports or letters to FMC stockholders.

In some cases, FMC has identified these forward-looking statements by such words or phrases as "outlook", "will likely result," "is confident that," "expect," "expects," "should," "could," "may," "will continue to," "believe," "believes," "anticipates," "predicts," "forecasts," "estimates," "projects," "potential," "intends" or similar expressions identifying "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including the negative of those words or phrases. Such forward-looking statements are based on our current views and assumptions regarding future events, future business conditions and the projections, outlook and guidance for the company based on currently available information. The forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from any results, levels of activity, performance or achievements expressed or implied by any forward-looking statement including but not limited to the impact of certain commercial actions. These statements are subject to numerous risks and uncertainties, including but not limited to risks related to business competition; impacts of climatic conditions; unexpected market conditions; changes in the regulatory environment; cost of commodities; changes in price availability of key raw materials; our ability to innovate and successfully introduce new products or technologies; ability to compete and protect our intellectual property rights; global and exchange rate fluctuations; and potential litigation and regulatory matters, and are qualified by reference to the risk factors included in Part I, Item 1A of our Annual Report on Form 10-K for the year ended December 31, 2025 (the "2025 Form 10-K"), the section captioned "Forward-Looking Information" in Part II of the 2025 Form 10-K and to similar risk factors and cautionary statements in all other reports and forms filed with the Securities and Exchange Commission ("SEC"). We wish to caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made.  Forward-looking statements are qualified in their entirety by the above cautionary statement.

We specifically decline to undertake any obligation, and specifically disclaim any duty, to publicly update or revise any forward-looking statements that have been made to reflect events or circumstances after the date of such statements or to reflect the occurrence of anticipated or unanticipated events, except as may be required by law.

This press release contains certain "non-GAAP financial terms" which are defined on our website www.fmc.com/investors. Such terms include Adjusted EBITDA, Adjusted earnings, free cash flow and organic revenue growth. In addition, we have also provided on our website reconciliations of non-GAAP terms to the most directly comparable GAAP terms.

Although we provide forecasts for adjusted earnings per share, Adjusted EBITDA, and free cash flow (non-GAAP financial measures), we are not able to forecast the most directly comparable measures calculated and presented in accordance with GAAP. Certain elements of the composition of the GAAP amounts are not predictable, making it impractical for us to forecast. Such elements include, but are not limited to, restructuring, acquisition charges, our India held for sale business, and discontinued operations. As a result, no GAAP outlook is provided. Starting with the third quarter 2025 guidance, we provide forecasts for revenue excluding India (non-GAAP financial measure). We are not able to forecast the GAAP revenue due to potential actions we may take during the held for sale period to prepare the business for a potential buyer and other uncertainties, including customer reaction to the announcement of our intention to sell our India commercial business. In 2026, revenue, Adjusted EBITDA and Adjusted EPS outlooks provided exclude India results and variances are calculated versus 2025 results, which include India results in the first half of the year. Organic revenue growth (non-GAAP) excludes the impact of foreign currency changes and the removal of India.FMC CORPORATION

CONSOLIDATED STATEMENTS OF INCOME (LOSS)

(Unaudited)

Three Months Ended
September 30,

Nine Months Ended
September 30,

(In millions, except per share amounts)

2026

2025

2026

2025

Revenue

$        105.9

$        542.2

$     1,731.6

$     2,384.1

Costs of sales and services

507.5

413.3

1,544.5

1,532.2

Gross margin

$      (401.6)

$        128.9

$        187.1

$        851.9

Selling, general and administrative expenses

172.3

167.4

536.5

516.2

Research and development expenses

57.7

63.3

183.6

198.4

Restructuring and other charges (income)

480.6

294.5

779.9

349.0

Total costs and expenses

$     1,218.1

$        938.5

$     3,044.5

$     2,595.8

Income from continuing operations before non-operating
pension, postretirement, and other charges (income), interest
expense, net and income taxes

$   (1,112.2)

$      (396.3)

$   (1,312.9)

$      (211.7)

Non-operating pension, postretirement, and other charges (income)

2.1

5.6

8.8

15.4

Interest expense, net

73.6

64.1

209.7

175.2

Income (loss) from continuing operations before income taxes

$   (1,187.9)

$      (466.0)

$   (1,531.4)

$      (402.3)

Provision (benefit) for income taxes

840.6

82.2

951.2

110.1

Income (loss) from continuing operations

$   (2,028.5)

$      (548.2)

$   (2,482.6)

$      (512.4)

Discontinued operations, net of income taxes

(36.8)

(20.4)

(50.2)

(4.0)

Net income (loss)

$   (2,065.3)

$      (568.6)

$   (2,532.8)

$      (516.4)

Less: Net income (loss) attributable to noncontrolling interests

1.6

0.7

2.0

1.7

Net income (loss) attributable to FMC stockholders

$   (2,066.9)

$      (569.3)

$   (2,534.8)

$      (518.1)

Amounts attributable to FMC stockholders:

  Income (loss) from continuing operations, net of tax

$   (2,030.1)

$      (548.9)

$   (2,484.6)

$      (514.1)

  Discontinued operations, net of tax

(36.8)

(20.4)

(50.2)

(4.0)

  Net income (loss)

$   (2,066.9)

$      (569.3)

$   (2,534.8)

$      (518.1)

Basic earnings (loss) per common share attributable to FMC
stockholders:

  Continuing operations

$      (15.26)

$         (4.36)

$      (19.35)

$         (4.08)

  Discontinued operations

(0.28)

(0.16)

(0.39)

(0.03)

  Basic earnings per common share

$      (15.54)

$         (4.52)

$      (19.74)

$         (4.11)

Average number of shares outstanding used in basic earnings per
share computations

133.0

125.2

128.4

125.1

Diluted earnings (loss) per common share attributable to FMC
stockholders:

  Continuing operations

$      (15.26)

$         (4.36)

$      (19.35)

$         (4.08)

  Discontinued operations

(0.28)

(0.16)

(0.39)

(0.03)

  Diluted earnings per common share

$      (15.54)

$         (4.52)

$      (19.74)

$         (4.11)

Average number of shares outstanding used in diluted earnings per
share computations

133.0

125.2

128.4

125.1

Other Data:

Capital additions and other investing activities

$            8.1

$          24.3

$          17.4

$          71.5

Depreciation and amortization expense

$          40.9

$          43.4

$        124.0

$        130.5

FMC CORPORATION

RECONCILIATION OF NON-GAAP FINANCIAL MEASURES

RECONCILIATION OF NET INCOME (LOSS) ATTRIBUTABLE TO FMC STOCKHOLDERS (GAAP) TO ADJUSTED AFTER-TAX EARNINGS FROM CONTINUING OPERATIONS, ATTRIBUTABLE TO FMC STOCKHOLDERS (NON-GAAP) (1)

(Unaudited)

Three Months Ended
September 30,

Nine Months Ended
September 30,

(In millions, except per share amounts)

2026

2025

2026

2025

Net income (loss) attributable to FMC stockholders (GAAP)

$   (2,066.9)

$       (569.3)

$  (2,534.8)

$      (518.1)

Corporate special charges (income):

Restructuring and other charges (income) (a)

467.1

79.4

709.8

133.9

Non-operating pension, postretirement, and other charges
(income) (b)

2.1

5.6

8.8

15.4

India held for sale business (c)

45.6

509.6

145.2

509.6

Income tax expense (benefit) on Corporate special charges (income) (d)

18.4

(16.4)

(30.3)

(27.6)

Discontinued operations attributable to FMC stockholders, net of
income taxes (e)

36.8

20.4

50.2

4.0

Tax adjustment (f)

909.9

83.1

1,068.3

104.3

Adjusted after-tax earnings (loss) from continuing operations
attributable to FMC stockholders (non-GAAP) (1)

$      (587.0)

$         112.4

$      (582.8)

$       221.5

Diluted earnings (loss) per common share (GAAP)

$      (15.54)

$         (4.52)

$      (19.74)

$        (4.11)

Corporate special charges (income) per diluted share, before tax:

Restructuring and other charges (income)

3.51

0.63

5.53

1.07

Non-operating pension, postretirement, and other charges
(income)

0.02

0.04

0.07

0.12

India held for sale business

0.34

4.06

1.13

4.06

Income tax expense (benefit) on Corporate special charges (income),
per diluted share

0.14

(0.13)

(0.24)

(0.22)

Discontinued operations attributable to FMC stockholders, net of
income taxes per diluted share 

0.28

0.16

0.39

0.03

Tax adjustments per diluted share

6.84

0.65

8.32

0.81

Diluted adjusted after-tax earnings (loss) from continuing
operations per share, attributable to FMC stockholders (non-GAAP)

$         (4.41)

$           0.89

$        (4.54)

$         1.76

Average number of shares outstanding used in diluted adjusted after-tax
earnings (loss) from continuing operations per share computations(2)

133.0

125.7

128.4

125.6

(1)

Referred to as Adjusted earnings. The Company believes that Adjusted earnings, a non-GAAP financial measure, and its presentation on a per share basis provides useful information about the Company's operating results to management, investors, and securities analysts. Adjusted earnings excludes the effects of corporate special charges, the India held for sale business, tax-related adjustments and the results of our discontinued operations. The Company also believes that excluding the effects of these items from operating results allows management and investors to compare more easily the financial performance of its underlying business from period to period.

(2)

The average number of shares outstanding used in the three and nine months ended September 30, 2025 diluted adjusted after-tax earnings from continuing operations per share computation (Non-GAAP) includes 0.7 million and 0.6 million diluted shares, respectively. This differs from the average number of shares outstanding used in diluted earnings per share computations (GAAP) as we had a net loss from continuing operations attributable to FMC stockholders during each of the three and nine months ended September 30, 2025.

(a)

Three Months Ended September 30, 2026:

Restructuring and other charges (income) includes restructuring charges of $175.9 million primarily comprised of charges incurred in connection with Project Foundation, which is management's comprehensive plan to further optimize FMC's cost structure and organizational operations. The charges for Project Foundation include non-cash asset write-offs and accelerated depreciation costs of $86.8 million primarily associated with the planned exit of certain production activities; severance and employee separation costs of $36.2 million; and, other miscellaneous charges of $51.7 million, which includes contract exit costs and professional service provider costs. In response to revised expectations regarding future operating results and cash flows and the commercial actions implemented during the period, we performed an impairment test of certain indefinite-lived intangible assets and recorded a non-cash impairment charge of $287.5 million, which is included in other charges (income) during the three months ended September 30, 2026. Other charges (income) also includes $3.8 million of charges associated with our environmental sites.

Three Months Ended September 30, 2025:

Restructuring and other charges (income) includes restructuring charges of $62.1 million primarily related to Project Focus. Charges incurred related to Project Focus included $47.1 million of charges recorded in connection with a shutdown of a product line at one of our manufacturing locations, which includes $27.5 million of abandonment charges on assets identified for disposal. Stranded raw materials related charges of $12.2 million incurred in connection with this shutdown are recorded to "Cost of Sales and services" on the consolidated statements of income (loss) and are included in the restructuring and other charges line in the reconciliation above. Additionally, we recorded other Project Focus-related charges during the period including $3.5 million of professional service provider costs and other miscellaneous charges, $3.9 million of severance and employee separation costs, and write-offs of $7.5 million on assets identified for disposal. Other charges (income) of $17.3 million is comprised of $4.9 million of charges associated with our environmental sites, losses of $7.7 million related to the devaluation of the Argentine peso driven by government actions, and $4.6 million of other miscellaneous charges.

Nine Months Ended September 30, 2026:

Restructuring and other charges (income) includes restructuring charges of $409.9 million primarily related to charges incurred in connection with Project Foundation. The charges consist of non-cash asset write-offs and accelerated depreciation costs of $285.7 million primarily associated with the planned exit of certain production activities, which includes a write-off of $92.6 million for certain receivables primarily in Latin America; severance and employee separation costs of $47.7 million; and, other miscellaneous charges of $67.9 million, which includes contract exit costs and professional service provider costs partially offset by the cash proceeds from the sale of a legacy product line. During the nine months ended September 30, 2026, we also recorded Project Focus-related costs of $8.3 million primarily related to miscellaneous charges associated with previously implemented activities. Other charges (income) includes the non-cash impairment charge of $287.5 million recorded in connection with our indefinite-lived impairment test performed during the the third quarter and $13.1 million of charges associated with our environmental sites.

Nine Months Ended September 30, 2025

Restructuring and other charges (income) includes restructuring charges of $88.7 million primarily related to Project Focus. Charges incurred related to Project Focus include of $47.1 million of charges recorded in connection with a shutdown of a product line at one of our manufacturing locations, which includes $27.5 million of abandonment charges on assets identified for disposal. Stranded raw materials charges of $12.2 million incurred in connection with this shutdown are recorded to "Cost of Sales and services" on the consolidated statements of income (loss) and are included in the restructuring and other charges line in the reconciliation above. Additionally, we recorded other Project Focus-related charges during the period including $15.0 million of professional service provider costs and other miscellaneous charges, $13.5 million of severance and employee separation costs, and write-offs of $13.1 million on assets identified for disposal. Other charges (income) of $45.2 million is comprised of $15.8 million of charges associated with our environmental sites, a charge of $11.9 million due to changes in our estimate for Furadan disposal costs at our Middleport site, losses of $7.7 million related to the devaluation of the Argentine peso driven by government actions, and $9.7 million of other miscellaneous charges.

 (b)

Our non-operating pension, postretirement and other charges (income) includes those costs (benefits) related to interest, expected return on plan assets, amortized actuarial gains and losses and the impacts of any plan curtailments or settlements. These are excluded from our Adjusted earnings and are primarily related to changes in pension plan assets and liabilities which are tied to financial market performance and we consider these costs to be outside our operational performance. We continue to include the service cost and amortization of prior service cost in our Adjusted earnings results noted above. These elements reflect the current year operating costs to our businesses for the employment benefits provided to active employees.   

(c)

In July 2025, the Board of Directors approved a plan to divest the Company's commercial business in India in response to ongoing challenges in the country. In May 2026, the Company announced that it has signed a definitive agreement to sell the India commercial business to Crystal Crop Protection Limited for consideration of $252 million, subject to customary adjustments for cash, debt and working capital. The Company will continue to receive all cash generated from the ongoing operation of the India business until closing, primarily through monetization of working capital, and the sale is expected to close during 2026. The assets related to this business have been classified as held for sale since the third quarter of 2025. The business does not qualify for recognition as discontinued operations and will continue to be presented in the Company's reported GAAP results until a transaction is completed. Beginning with the third quarter of 2025, we have excluded the impact of various activities associated with the anticipated sale from our operating results for non-GAAP purposes. Refer to the table below for the adjustments related to the India held for sale business for the three and nine months ended September 30, 2026.

Three Months Ended
September 30,

Nine Months Ended
September 30,

Affected Line Item in the Consolidated
Statements of Income (Loss)

(In millions)

2026

2025

2026

2025

Operating results, substantially
intentional commercial actions

$           32.1

$         282.2

$           75.1

$         282.2

Revenue, Cost of sales and services,
and Selling, general and
administrative expenses

Asset impairment

13.5

226.8

57.1

226.8

Restructuring and other charges
(income)

Third party provider costs

—

0.6

13.0

0.6

Restructuring and other charges
(income)

India held for sale business

$           45.6

$         509.6

$         145.2

$         509.6

During the three months ended September 30, 2025, we recorded $509.6 million of charges and write-downs related to the India held for sale business, including charges of $282.2 million in connection with intentional commercial actions to position the India business for sales and an initial asset impairment charge of $226.8 million to record the assets held for sale to the estimated fair value at that time.

(d)

The income tax expense (benefit) on Corporate special charges (income) is determined using the applicable rates in the taxing jurisdictions in which the corporate special charge or income occurred and includes both current and deferred income tax expense (benefit) based on the nature of the non-GAAP performance measure.

(e)

Discontinued operations includes provisions, net of recoveries, for environmental liabilities and legal reserves and expenses related to previously discontinued operations and retained liabilities.

(f)

We exclude the GAAP tax provision, including discrete items, from the non-GAAP measure of income, and include a non-GAAP tax provision based upon the projected annual non-GAAP effective tax rate. The GAAP tax provision includes certain discrete tax items including, but are not limited to: income tax expenses or benefits that are not related to continuing operating results in the current year; tax adjustments associated with fluctuations in foreign currency remeasurement of certain foreign operations; certain changes in estimates of tax matters related to prior fiscal years; certain changes in the realizability of deferred tax assets and related interim accounting impacts; and changes in tax law. In 2024 and 2023, we recorded significant deferred tax assets due to various tax incentives granted to the Company's Swiss subsidiaries (the "Swiss Tax Incentives"). The initial recognition of these Swiss Tax Incentives did not impact our adjusted non-GAAP effective tax rate but will be considered annually as we realize the benefits. Management believes excluding these discrete tax items, as well as the impacts of the Swiss Tax Incentives annually as the related benefits are realized, assists investors and securities analysts in understanding the tax provision and the effective tax rate related to continuing operating results thereby providing investors with useful supplemental information about FMC's operational performance.

Three Months Ended
September 30,

Nine Months Ended
September 30,

(In millions)

2026

2025

2026

2025

Tax adjustments:

Revisions to valuation allowances of historical deferred tax assets

$          808.8

$           46.4

$         933.5

$           45.2

Net impact of Switzerland tax incentives

(0.9)

18.6

—

31.9

Foreign currency remeasurement and other discrete items

102.0

18.1

134.8

27.2

Total non-GAAP tax adjustments(i)

$          909.9

$           83.1

$      1,068.3

$         104.3

(i)

Primarily relates to valuation allowances recorded in Switzerland and the United States during the three and nine months ended September 30, 2026.

RECONCILIATION OF NET INCOME (LOSS) (GAAP) TO ADJUSTED EARNINGS FROM CONTINUING
OPERATIONS, BEFORE INTEREST, INCOME TAXES, DEPRECIATION AND AMORTIZATION, AND
NONCONTROLLING INTERESTS (NON-GAAP) (3)

(Unaudited)

Three Months Ended
September 30,

Nine Months Ended
September 30,

(In millions)

2026

2025

2026

2025

Net income (loss) (GAAP)

$   (2,065.3)

$      (568.6)

$  (2,532.8)

$      (516.4)

Restructuring and other charges (income) (1)

467.1

79.4

709.8

133.9

Non-operating pension, postretirement, and other charges (income)

2.1

5.6

8.8

15.4

India held for sale business (2)

45.6

509.6

145.2

509.6

Discontinued operations, net of income taxes

36.8

20.4

50.2

4.0

Interest expense, net

73.6

64.1

209.7

175.2

Depreciation and amortization

40.9

43.4

124.0

130.5

Provision (benefit) for income taxes

840.6

82.2

951.2

110.1

Adjusted earnings from continuing operations, before interest,
income taxes, depreciation and amortization, and noncontrolling
interests (non-GAAP) (3)

$      (558.6)

$        236.1

$      (333.9)

$       562.3

(1)

In the reconciliation above, charges recorded in connection with the India held for sale business of $13.5 million and $70.1 million for the three and nine months ended September 30, 2026, respectively, are presented in the India held for sale business line, as described in the reconciliation in note (c) above. Charges of $227.4 million are presented in the India held for sale business line for the three and nine months ended September 30, 2025. On the consolidated statements of income (loss), these adjustments are recorded to "Restructuring and other charges (income)." Restructuring and other charges (income) for the three and nine months ended September 30, 2025 in the reconciliation above also includes $12.3 million of charges related to Project Focus recorded to "Cost of Sales and services" on the consolidated statements of income (loss).

(2)

Beginning with the third quarter of 2025, we excluded the operating results of the India commercial business during the held for sale period for non-GAAP purposes. For further details on the charges and write-downs recorded in connection with the India held for sale business, refer to note (c) in the reconciliation above.

(3)

Referred to as Adjusted EBITDA. Defined as operating profit excluding restructuring and other charges (income), depreciation and amortization expense, and the India held for sale business.

RECONCILIATION OF CASH PROVIDED (REQUIRED) BY OPERATING ACTIVITIES OF
CONTINUING OPERATIONS (GAAP) TO FREE CASH FLOW (NON-GAAP) (2)

(Unaudited)

Three Months Ended
September 30,

Nine Months Ended
September 30,

(In millions)

2026

2025

2026

2025

Cash provided (required) by operating activities of continuing
operations (GAAP) (1)

$            6.6

$      (184.2)

$      (231.3)

$      (663.3)

Capital expenditures

(7.8)

(23.7)

(29.7)

(70.3)

Other investing activities

(0.3)

(0.6)

12.3

(1.2)

Capital additions and other investing activities

$          (8.1)

$        (24.3)

$        (17.4)

$        (71.5)

Cash provided (required) by operating activities of discontinued
operations

(19.9)

(24.0)

(54.2)

(53.7)

Divestiture transaction costs (2)

3.2

—

14.0

—

Free cash flow (non-GAAP) (3)

$        (18.2)

$      (232.5)

$      (288.9)

$      (788.5)

(1)

The three and nine months ended September 30, 2026 includes cash payments of $22.6 million and $115.1 million, respectively, for restructuring activities primarily related to the Project Focus and Project Foundation transformation programs. The three and nine months ended September 30, 2025 includes cash payments of $6.4 million and $77.0 million, respectively, made in connection with Project Focus.

(2)

Represents third party provider costs associated with the expected sale of our India commercial business. Proceeds from the sale of our India commercial business anticipated in 2026 will be excluded from free cash flow when received. Therefore, we have also excluded the related transaction costs from free cash flow.

(3)

Free cash flow is defined as cash provided (required) by operating activities of continuing operations (GAAP) adjusted for spending for capital additions and other investing activities as well as cash provided (required) by discontinued operations and divestiture transaction costs associated with the sale of our GSS business. We believe that this non-GAAP financial measure provides a useful basis for investors and securities analysts to evaluate the cash generated by routine business operations, including to assess our ability to repay debt, fund acquisitions and return capital to shareholders through share repurchases and dividends. Our use of free cash flow has limitations as an analytical tool and should not be considered in isolation or as a substitute for an analysis of our results under U.S. GAAP.

RECONCILIATION OF REVENUE (GAAP)

TO REVENUE EXCLUDING INDIA (NON-GAAP) (2)

(Unaudited)

Three Months Ended
September 30,

Nine Months Ended
September 30,

(In millions)

2026

2025

2026

2025

Revenue (GAAP)

$              105.9

$              542.2

$           1,731.6

$           2,384.1

Less: Revenue from India commercial business (1)

—

(419.1)

21.9

(419.1)

Revenue excluding India (non-GAAP) (2)

$              105.9

$              961.3

$           1,709.7

$           2,803.2

(1)

Beginning with the third quarter of 2025, revenue from the India commercial business is excluded from our adjusted results during the held for sale period for non-GAAP purposes. During the three and nine months ended September 30, 2025, we took several commercial actions to prepare the India commercial business for sale. Refer to note (c) above for further details.

(2)

Although the India held for sale business does not qualify for recognition as discontinued operations, we believe Revenue excluding India (non-GAAP) provides management and investors with useful supplemental information regarding our ongoing revenue performance.

RECONCILIATION OF REVENUE CHANGE (GAAP) TO

ORGANIC REVENUE CHANGE (NON-GAAP) (1)

(Unaudited)

Three Months Ended September
30, 2026 vs. 2025

Nine Months Ended September
30, 2026 vs. 2025

Total revenue (GAAP) change

(80) %

(27) %

Less: Revenue for India held for sale business for the three
and nine months ended September 30, 2026

9 %

12 %

Revenue excluding India (non-GAAP) change (1)

(89) %

(39) %

Less:  Foreign currency impact

1 %

3 %

Organic revenue (non-GAAP) change (2)

(90) %

(42) %

(1)

Beginning with the third quarter of 2025, revenue from the India commercial business is excluded from our adjusted results during the held for sale period for non-GAAP purposes. Refer to note (c) above for further details.

(2)

We believe organic revenue growth (non-GAAP) provides management and investors with useful supplemental information regarding our ongoing revenue performance and trends by presenting revenue growth excluding the impact of fluctuations in foreign exchange rates and the India held for sale business.

RECONCILIATION OF NET INCOME (LOSS) ATTRIBUTABLE TO

FMC STOCKHOLDERS (GAAP) TO RETURN ON INVESTED CAPITAL ("ROIC")

NUMERATOR (NON-GAAP) AND ADJUSTED ROIC (USING NON-GAAP NUMERATOR) (1)

(Unaudited)

Twelve Months Ended

(In millions, except percentages)

September 30, 2026

Net income (loss) attributable to FMC stockholders (GAAP)

$                    (4,255.6)

Interest expense, net, net of income taxes

233.0

Corporate special charges (income)

2,363.7

India held for sale business

157.3

Income tax expense (benefit) on Corporate special charges (income)

(160.8)

Discontinued operations attributable to FMC stockholders, net of income taxes

82.8

Tax adjustments

1,380.3

ROIC numerator (non-GAAP)

$                       (199.3)

September 30, 2026

September 30, 2025

Total debt

$                     4,177.7

$                         4,542.2

Total FMC stockholders' equity

(19.4)

3,773.8

Total debt and FMC stockholders' equity (GAAP)

$                     4,158.3

$                         8,316.0

ROIC denominator (2 yr average total debt and FMC stockholders' equity)

$                     6,237.2

ROIC (using Net income (loss) attributable to FMC stockholders (GAAP)
as numerator)

(68.23) %

Adjusted ROIC (using non-GAAP numerator) (1)

(3.20) %

(1)

We believe Adjusted ROIC (non-GAAP) provides management and investors with useful supplemental information regarding our utilization of capital provided by both equity and debt as well as our working capital and free cash flow management. Additionally, vesting of certain restricted stock awards granted to officers is connected to Adjusted ROIC as a performance metric.

FMC CORPORATION

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

(In millions)

September 30, 2026

December 31, 2025

Cash and cash equivalents

$                735.8

$                584.5

Trade receivables, net of allowance of $87.6 in 2026 and $43.3 in 2025

1,723.1

2,062.0

Inventories

1,326.5

1,219.6

Prepaid and other current assets

472.6

481.2

Assets held for sale (1)

319.4

611.7

Total current assets

$             4,577.4

$             4,959.0

Property, plant and equipment, net

491.9

707.4

Other intangibles, net

1,995.9

2,361.8

Deferred income taxes

435.0

1,215.6

Other long-term assets

409.6

443.4

Total assets

$             7,909.8

$             9,687.2

Short-term debt and current portion of long-term debt

$                222.8

$             1,305.1

Accounts payable, trade and other

723.9

771.0

Advanced payments from customers

67.8

453.1

Accrued and other liabilities

735.4

574.0

Accrued customer rebates

811.9

417.4

Guarantees of vendor financing

51.6

45.7

Accrued pensions and other postretirement benefits, current

3.3

3.3

Income taxes

105.0

24.0

Liabilities held for sale (1)

36.8

161.7

Total current liabilities

$             2,758.5

$             3,755.3

Long-term debt, less current portion

$             3,954.9

$             2,769.8

Long-term liabilities

1,186.9

1,063.2

Equity

9.5

2,098.9

Total liabilities and equity

$             7,909.8

$             9,687.2

(1)

The carrying value of the India held for sale business decreased from $450 million as of December 31, 2025 to $260 million as of September 30, 2026 primarily due to receivable collections during the period as well as an impairment charge of approximately $57 million. The carrying value of the held for sale business is comprised of $283 million of net assets held for sale as presented on the consolidated balance sheet and a gain of $23 million related to foreign currency translation in connection with the assets identified for disposal. The foreign currency translation gains are recorded in "Accumulated other comprehensive income (loss)" on the consolidated balance sheet and will be reclassified to the consolidated statement of income (loss) upon close of the sale.

FMC CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

Nine Months Ended September 30,

(In millions)

2026

2025

Cash provided (required) by operating activities of continuing operations

$               (231.3)

$               (663.3)

Cash provided (required) by operating activities of discontinued operations

(54.2)

(53.7)

Cash provided (required) by investing activities of continuing operations

(18.2)

(84.4)

Cash provided (required) by financing activities of continuing operations

457.8

932.1

Effect of exchange rate changes on cash

(2.8)

9.7

Increase (decrease) in cash and cash equivalents

$                 151.3

$                 140.4

Cash and cash equivalents, beginning of period

$                 584.5

$                 357.3

Cash and cash equivalents, end of period

$                 735.8

$                 497.7

SOURCE FMC Corporation

, /PRNewswire/ -- TransMedics Group, Inc. ("TransMedics") (Nasdaq: TMDX), a medical technology company that is transforming organ transplant therapy for patients with end-stage lung, heart, and liver failure, today announced the company will be participating in three upcoming investor conferences. TransMedics management is scheduled to participate in a fireside chat at the Stifel 2026 Healthcare Conference in New York on Tuesday, November 10, 2026, at 10:40 a.m. EST, the Jefferies Global Healthcare Conference in London on Tuesday, November 17, 2026, at 7:00 a.m. EST and the Piper Sandler 38th Annual Healthcare Conference in New York on Tuesday, December 1, 2026, at 4:30 p.m. EST.

Event: Stifel 2026 Healthcare Conference
Date: Tuesday, November 10, 2026
Time: 10:40 a.m. EST

Event: Jefferies Global Healthcare Conference
Date: Tuesday, November 17, 2026
Time: 7:00 a.m. EST

Event: Piper Sandler 38th Annual Healthcare Conference
Date: Tuesday, December 1, 2026
Time: 4:30 p.m. EST

A live and archived webcast of the fireside chats will be available on the "Investors" section of the TransMedics website at https://investors.transmedics.com/. The Company's standard investor presentation is also available through this link.

About TransMedics Group, Inc.
TransMedics is the world's leader in portable extracorporeal warm perfusion and assessment of donor organs for transplantation. Headquartered in Andover, Massachusetts, the company was founded to address the unmet need for more and better organs for transplantation and has developed technologies to preserve organ quality, assess organ viability prior to transplant, and potentially increase the utilization of donor organs for the treatment of end-stage heart, lung, and liver failure.

Investor Contact:
Brian Johnston
Hannah Jeffrey
332-895-3222
[email protected]

SOURCE TransMedics Group, Inc.

, /PRNewswire/ -- Invesco Mortgage Capital Inc. (NYSE: IVR) (the "Company") today announced financial results for the quarter ended September 30, 2026.

Net loss per common share of $0.92 compared to net income of $0.34 in Q2 2026Earnings available for distribution per common share(1) of $0.47 compared to $0.50 in Q2 2026Monthly common stock dividends totaling $0.36 per share, unchanged from Q2 2026Book value per common share(2) of $6.74 compared to $8.03 as of June 30, 2026Economic return(3) of (11.6)% compared to 3.8% in Q2 2026Debt-to-equity ratio of 7.6x compared to 6.3x as of June 30, 2026Economic debt-to-equity ratio(1) of 8.3x compared to 7.5x as of June 30, 2026Update from Kevin Collins, Chief Executive Officer

"Economic growth remained resilient during the third quarter, but financial conditions tightened as investors increasingly priced in additional Federal Reserve rate hikes. Short-term Treasury yields rose on expectations for further monetary policy tightening, while longer-term yields increased on stronger growth expectations and concerns over elevated fiscal deficits and Treasury supply. Interest rate volatility also rose from the subdued levels of the second quarter, weighing on investor risk appetite and contributing to materially wider Agency RMBS spreads and modestly wider Agency CMBS spreads.

"Against this backdrop, our portfolio generated negative returns relative to Treasuries, although the impact was partially offset by improvement in swap spreads. Book value declined by 16.1% to $6.74 at quarter end, and when combined with our monthly dividends, resulted in an economic return of (11.6)% for the quarter.

"At quarter end, our $8.0 billion investment portfolio consisted of $6.6 billion of Agency RMBS, $0.7 billion of Agency TBA, and $0.7 billion of Agency CMBS. Our economic debt-to-equity ratio was 8.3x, and we maintained a sizable balance of unrestricted cash and unencumbered investments totaling $401.3 million. During the latter part of the quarter, we reduced our Agency CMBS allocation and redeployed proceeds into Agency RMBS opportunities, as spread widening created increasingly attractive risk-adjusted return potential within the sector. Importantly, financing markets remained orderly despite elevated market volatility. Our strong liquidity position, diversified financing relationships, and disciplined risk-management framework continue to position the Company well during periods of market uncertainty.

"Our outlook for both Agency RMBS and Agency CMBS remains constructive. While uncertainty surrounding inflation, monetary policy, and geopolitical developments remains elevated, recent spread widening has enhanced the relative value and prospective return potential of both sectors. Looking ahead, we believe Agency RMBS is well positioned to benefit from increased participation by GSEs, banks, money managers, and other institutional investors as compelling risk-adjusted returns continue to attract capital. Agency CMBS also remains attractive, supported by elevated yields, stable cash flow characteristics, and meaningful diversification benefits.

"We believe an eventual de-escalation of geopolitical tensions in the Middle East, coupled with moderation in interest rate volatility, could provide an additional tailwind for our target assets. Until then, we remain focused on maintaining prudent leverage, ample liquidity, and strategic portfolio diversification. We believe our measured approach positions us well to navigate uncertainty while seeking to deliver attractive risk-adjusted returns and create long-term shareholder value."

(1) Earnings available for distribution (and by calculation, earnings available for distribution per common share) and economic debt-to-equity ratio are non-Generally Accepted Accounting Principles ("GAAP") financial measures. Refer to the section entitled "Non-GAAP Financial Measures" for important disclosures and a reconciliation to the most comparable U.S. GAAP measures.

(2) Book value per common share as of September 30, 2026 and June 30, 2026 is calculated as total stockholders' equity less the liquidation preference of the Company's Series C Preferred Stock ($168.1 million as of September 30, 2026 and $168.6 million as of June 30, 2026), divided by total common shares outstanding.

(3) Economic return for the quarter ended September 30, 2026 is defined as the change in book value per common share from June 30, 2026 to September 30, 2026 of ($1.29); plus dividends declared of $0.36 per common share; divided by the June 30, 2026 book value per common share of $8.03. Economic return for the quarter ended June 30, 2026 is defined as the change in book value per common share from March 31, 2026 to June 30, 2026 of ($0.05); plus dividends declared of $0.36 per common share; divided by the March 31, 2026 book value per common share of $8.08.

Key performance indicators for the quarters ended September 30, 2026 and June 30, 2026 are summarized in the table below.

$ in millions, except share amounts

Q3 2026

Q2 2026

Variance

Average Balances (1)

(unaudited)

(unaudited)

Average earning assets (at amortized cost)

$7,574.3

$6,631.0

$943.3

Average borrowings

$6,754.7

$5,927.7

$827.0

Average total stockholders' equity

$973.6

$966.9

$6.7

U.S. GAAP Financial Measures

Total interest income

$99.0

$85.4

$13.6

Total interest expense

$65.0

$55.3

$9.7

Net interest income

$33.9

$30.1

$3.8

Total expenses

$5.2

$5.5

($0.3)

Net income (loss) attributable to common stockholders

($98.8)

$31.8

($130.6)

Average earning asset yields

5.23 %

5.15 %

0.08 %

Average cost of funds

3.85 %

3.73 %

0.12 %

Average net interest rate margin

1.38 %

1.42 %

(0.04) %

Period-end weighted average asset yields (2)

5.28 %

5.29 %

(0.01) %

Period-end weighted average cost of funds

3.97 %

3.76 %

0.21 %

Period-end weighted average net interest rate margin

1.31 %

1.53 %

(0.22) %

Book value per common share (3)

$6.74

$8.03

($1.29)

Earnings (loss) per common share (basic)

($0.92)

$0.34

($1.26)

Earnings (loss) per common share (diluted)

($0.92)

$0.34

($1.26)

Debt-to-equity ratio

          7.6x 

          6.3x 

          1.3x 

Non-GAAP Financial Measures (4)

Earnings available for distribution

$50.3

$47.1

$3.2

Effective interest expense

$45.1

$34.6

$10.5

Effective net interest income

$53.9

$50.9

$3.0

Effective cost of funds

2.67 %

2.33 %

0.34 %

Effective interest rate margin

2.56 %

2.82 %

(0.26) %

Earnings available for distribution per common share

$0.47

$0.50

($0.03)

Economic debt-to-equity ratio

          8.3x 

          7.5x 

          0.8x 

(1) Average earning assets, average borrowings and average total stockholders' equity are calculated based on the weighted month-end balances of mortgage-backed securities at amortized cost, repurchase agreement borrowings and total U.S. GAAP stockholders' equity, respectively.

(2) Period-end weighted average asset yields are based on amortized cost as of period-end and incorporate future prepayment assumptions when appropriate.

(3) Book value per common share is calculated as total stockholders' equity less the liquidation preference of the Company's Series C Preferred Stock ($168.1 million as of September 30, 2026 and $168.6 million as of June 30, 2026), divided by total common shares outstanding.

(4) Earnings available for distribution (and by calculation, earnings available for distribution per common share), effective interest expense (and by calculation, effective cost of funds), effective net interest income (and by calculation, effective interest rate margin), and economic debt-to-equity ratio are non-GAAP financial measures. Refer to the section entitled "Non-GAAP Financial Measures" for important disclosures and a reconciliation to the most comparable U.S. GAAP measures of net income (loss) attributable to common stockholders (and by calculation, basic earnings (loss) per common share), total interest expense (and by calculation, cost of funds), net interest income (and by calculation, net interest rate margin) and debt-to-equity ratio.

Portfolio Composition

The following table summarizes certain characteristics of the Company's investment portfolio including TBAs as of September 30, 2026 and June 30, 2026.

As of

September 30, 2026

June 30, 2026

$ in thousands

Fair Value

Percentage of
Portfolio

Period-end
Weighted
Average Yield (1)

Fair Value

Percentage
of Portfolio

Period-end
Weighted
Average
Yield (1)

Agency RMBS:

30 year fixed-rate pass-through coupon:

2.5 %

39,229

0.5 %

4.42 %

—

— %

— %

3.0 %

141,913

1.8 %

4.54 %

—

— %

— %

4.5 %

1,180,562

14.8 %

4.87 %

1,257,214

15.4 %

4.87 %

5.0 %

1,996,091

25.1 %

5.20 %

1,590,480

19.5 %

5.18 %

5.5 %

1,958,635

24.6 %

5.48 %

1,901,626

23.4 %

5.47 %

6.0 %

1,309,387

16.4 %

5.91 %

1,234,309

15.1 %

5.91 %

Total 30 year fixed-rate pass-through

6,625,817

83.2 %

5.34 %

5,983,629

73.4 %

5.36 %

Agency CMO

—

— %

— %

64,386

0.8 %

8.83 %

Agency CMBS

681,179

8.5 %

4.68 %

901,894

11.1 %

4.62 %

Subtotal

7,306,996

91.7 %

5.28 %

6,949,909

85.3 %

5.29 %

TBAs, at implied market value (2)

Agency TBA coupon:

5.0 %

—

— %

542,191

6.6 %

5.5 %

157,748

2.0 %

251,228

3.1 %

6.0 %

441,847

5.5 %

407,603

5.0 %

6.5 %

60,299

0.8 %

—

— %

Total Agency TBAs

659,894

8.3 %

1,201,022

14.7 %

Total investment portfolio including TBAs

7,966,890

100.0 %

8,150,931

100.0 %

(1) Period-end weighted average yield is based on amortized cost as of September 30, 2026 and June 30, 2026 and incorporates future prepayment assumptions when appropriate.

(2) The presentation of TBAs in the table above represents management's view of the investment portfolio and does not reflect how the Company records TBAs on its condensed consolidated balance sheets under U.S. GAAP. Under U.S. GAAP, the Company records TBAs that it does not intend to settle on the contractual settlement date as derivative financial instruments. The Company values TBAs on its condensed consolidated balance sheets at net carrying value, which represents the difference between implied market value and implied cost basis of the TBAs.

The following table summarizes certain characteristics of the Company's borrowings as of September 30, 2026 and June 30, 2026.

As of

$ in thousands

September 30, 2026

June 30, 2026

Amount
Outstanding

Weighted
Average
Interest Rate

Weighted
Average
Remaining
Maturity (days)

Amount
Outstanding

Weighted
Average
Interest Rate

Weighted
Average
Remaining
Maturity (days)

Repurchase agreements - Agency
RMBS

6,182,973

3.97 %

19

5,352,131

3.76 %

26

Repurchase agreements - Agency
CMBS

659,974

4.00 %

26

858,272

3.76 %

23

Total borrowings

6,842,947

3.97 %

20

6,210,403

3.76 %

25

The following tables summarize certain characteristics of the Company's interest rate swaps whereby the Company pays fixed interest rates and receives floating interest rates based on the secured overnight financing rate as of September 30, 2026 and June 30, 2026.

$ in thousands

As of September 30, 2026

Maturities

Notional

Amount

Weighted
Average Fixed
Pay Rate

Weighted
Average Floating
Receive Rate

Weighted
Average Years to
Maturity

Less than 3 years

1,200,000

1.52 %

3.90 %

1.6

3 to 5 years

1,330,000

1.58 %

3.90 %

4.1

5 to 7 years

600,000

3.71 %

3.90 %

6.4

7 to 10 years

925,000

4.16 %

3.90 %

9.3

Greater than 10 years

1,130,000

3.62 %

3.90 %

18.9

Total

5,185,000

2.72 %

3.90 %

7.9

$ in thousands

As of June 30, 2026

Maturities

Notional

Amount

Weighted
Average Fixed
Pay Rate

Weighted
Average Floating
Receive Rate

Weighted
Average Years to
Maturity

Less than 3 years

1,925,000

1.28 %

3.68 %

1.7

3 to 5 years

1,150,000

1.14 %

3.68 %

4.2

5 to 7 years

545,000

3.66 %

3.68 %

6.6

7 to 10 years

595,000

3.98 %

3.68 %

9.2

Greater than 10 years

550,000

2.44 %

3.68 %

20.5

Total

4,765,000

1.99 %

3.68 %

6.0

The following table summarizes certain characteristics of the Company's U.S. Treasury futures contracts as of September 30, 2026 and June 30, 2026.

As of

September 30, 2026

June 30, 2026

$ in thousands

Notional Amount - Short

Notional Amount - Short

10 year U.S. Treasury futures

740,000

600,000

Ultra 10 year U.S. Treasury futures

525,000

375,000

30 year U.S. Treasury futures

340,000

305,000

Total

1,605,000

1,280,000

Capital Activities

Dividends

During the three months ended September 30, 2026, the Company declared monthly common stock dividends totaling $0.36 per share and a Series C Preferred Stock dividend of $0.46875 per share.

Issuances of Common Stock

During the three months ended September 30, 2026, the Company issued 6,706,923 shares of common stock for net proceeds of $51.0 million through its at-the-market program.

Repurchases of Preferred Stock

During the three months ended September 30, 2026, the Company repurchased and retired 17,415 shares of Series C Preferred Stock with a carrying value of $421,000.

About Invesco Mortgage Capital Inc.

The Company is a real estate investment trust that primarily focuses on investing in, financing and managing mortgage-backed securities and other mortgage-related assets. The Company is externally managed and advised by Invesco Advisers, Inc., a registered investment adviser and an indirect wholly-owned subsidiary of Invesco Ltd., an independent global investment management firm.

Earnings Call

Members of the investment community and the general public are invited to listen to the Company's earnings conference call on Friday, October 30, 2026, at 9:00 a.m. ET, by calling one of the following numbers:

North America Toll Free: 

888-982-7409

International: 

1-212-287-1625

Passcode: 

Invesco

An audio replay will be available until 5:00 p.m. ET on November 13, 2026 by calling:

866-363-1806 (North America) or 1-203-369-0194 (International)

The presentation slides that will be reviewed during the call will be available on the Company's website at www.invescomortgagecapital.com. In addition, investors and others should note that the Company may announce material information to the public about the Company, the Company's plans, and the Company's financial performance and outlook through a variety of means, including the Company's website, press releases, SEC filings, and social media at www.linkedin.com/company/invesco-mortgage-capital-inc. in order to achieve broad, non-exclusionary distribution of information to the public. The Company encourages investors and others to review the information made public in such locations as such information could be deemed to be material information.

Cautionary Notice Regarding Forward-Looking Statements

This press release, the related presentation and comments made in the associated conference call, may include statements and information that constitute "forward-looking statements" within the meaning of the U.S. securities laws as defined in the Private Securities Litigation Reform Act of 1995, and such statements are intended to be covered by the safe harbor provided by the same. Forward-looking statements include our views on the risk positioning of our portfolio, domestic and global market conditions (including the Agency RMBS, Agency CMBS and residential and commercial real estate markets), the market for our target assets, our expected financial performance, including our earnings available for distribution, economic return, comprehensive income and changes in our book value, our intention and ability to pay dividends, our ability to continue performance trends, the stability of portfolio yields, interest rates, spreads, prepayment trends, financing sources, cost of funds, our anticipated leverage, liquidity, capital structure and equity allocation. In addition, words such as "believes," "expects," "anticipates," "intends," "plans," "estimates," "projects," "forecasts," and future or conditional verbs such as "will," "may," "could," "should," and "would" as well as any other statement that necessarily depends on future events, are intended to identify forward-looking statements.

Forward-looking statements are not guarantees, and they involve risks, uncertainties and assumptions. There can be no assurance that actual results will not differ materially from our expectations. We caution investors not to rely unduly on any forward-looking statements and urge you to carefully consider the risks identified under the captions "Risk Factors," "Forward-Looking Statements" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in our annual report on Form 10-K for the year ended December 31, 2025, which may be updated by subsequently filed quarterly reports on Form 10-Q or current reports on Form 8-K, which are available on the Securities and Exchange Commission's website at www.sec.gov.

All written or oral forward-looking statements that we make, or that are attributable to us, are expressly qualified by this cautionary notice. We expressly disclaim any obligation to update the information in any public disclosure if any forward-looking statement later turns out to be inaccurate.

INVESCO MORTGAGE CAPITAL INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

(Unaudited)

Three Months Ended

Nine Months Ended

$ in thousands, except share data

September 30,
2026

June 30,
2026

September 30,
2025

September 30,
2026

September 30,
2025

Interest income

98,961

85,408

72,916

264,010

217,386

Interest expense

65,035

55,308

55,302

172,936

163,222

Net interest income

33,926

30,100

17,614

91,074

54,164

Other income (loss)

Gain (loss) on investments, net

(402,062)

(21,226)

49,540

(478,228)

126,430

Gain (loss) on derivative instruments, net

277,682

31,584

(9,218)

322,145

(116,813)

Total other income (loss)

(124,380)

10,358

40,322

(156,083)

9,617

Expenses

Management fee – related party

3,626

3,329

2,662

9,929

8,489

General and administrative

1,557

2,125

1,803

5,599

5,507

Total expenses

5,183

5,454

4,465

15,528

13,996

Net income (loss)

(95,637)

35,004

53,471

(80,537)

49,785

Dividends to preferred stockholders

(3,153)

(3,165)

(3,261)

(9,508)

(9,899)

Gain (loss) on repurchase and retirement of preferred stock

(7)

3

(2)

(31)

44

Net income (loss) attributable to common stockholders

(98,797)

31,842

50,208

(90,076)

39,930

Other comprehensive income (loss)

Unrealized gain (loss) on mortgage-backed securities, net

—

—

—

—

229

Reclassification of unrealized (gain) loss on sale of mortgage-
backed securities to gain (loss) on investments, net

—

—

—

—

(402)

Total other comprehensive income (loss)

—

—

—

—

(173)

Comprehensive income (loss) attributable to common
stockholders

(98,797)

31,842

50,208

(90,076)

39,757

Earnings (loss) per share

Net income (loss) attributable to common stockholders

Basic

(0.92)

0.34

0.74

(0.95)

0.61

Diluted

(0.92)

0.34

0.74

(0.95)

0.61

INVESCO MORTGAGE CAPITAL INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(Unaudited)

As of

$ in thousands, except share amounts

September 30, 2026

December 31, 2025

ASSETS

Mortgage-backed securities, at fair value (including pledged securities of $7,120,811 and
     $5,879,318, respectively)

7,306,996

6,276,609

Cash and cash equivalents

215,078

56,040

Restricted cash

211,453

110,391

Due from counterparties

13,648

—

Investment related receivable

33,099

27,848

Derivative assets, at fair value

13,845

4,412

Other assets

684

594

Total assets

7,794,803

6,475,894

LIABILITIES AND STOCKHOLDERS' EQUITY

Liabilities:

Repurchase agreements

6,842,947

5,619,255

Derivative liabilities, at fair value

15,491

—

Dividends payable

13,092

25,845

Accrued interest payable

13,791

28,664

Accounts payable and accrued expenses

2,212

1,580

Due to affiliate

3,902

3,006

Total liabilities

6,891,435

5,678,350

Stockholders' equity:

Preferred Stock, par value $0.01 per share; 50,000,000 shares authorized:

7.50% Fixed-to-Floating Series C Cumulative Redeemable Preferred Stock: 6,724,806 and
     6,854,131 shares issued and outstanding, respectively ($168,120 and $171,353 aggregate
     liquidation preference, respectively)

162,628

165,756

Common Stock, par value $0.01 per share; 134,000,000 shares authorized; 109,103,682 and
     71,790,532 shares issued and outstanding, respectively

1,091

718

Additional paid in capital

4,512,341

4,209,977

Retained earnings (distributions in excess of earnings)

(3,772,692)

(3,578,907)

Total stockholders' equity

903,368

797,544

Total liabilities and stockholders' equity

7,794,803

6,475,894

Non-GAAP Financial Measures

The table below shows the non-GAAP financial measures the Company uses to analyze its operating results and the most directly comparable U.S. GAAP measures. The Company believes these non-GAAP measures are useful to investors in assessing its performance as discussed further below.

Non-GAAP Financial Measure

Most Directly Comparable U.S. GAAP Measure

Earnings available for distribution (and by calculation,
earnings available for distribution per common share)

Net income (loss) attributable to common stockholders (and by
calculation, basic earnings (loss) per common share)

Effective interest expense (and by calculation, effective cost of
funds)

Total interest expense (and by calculation, cost of funds)

Effective net interest income (and by calculation, effective
interest rate margin)

Net interest income (and by calculation, net interest rate
margin)

Economic debt-to-equity ratio

Debt-to-equity ratio

The non-GAAP financial measures used by the Company's management should be analyzed in conjunction with U.S. GAAP financial measures and should not be considered substitutes for U.S. GAAP financial measures. In addition, the non-GAAP financial measures may not be comparable to similarly titled non-GAAP financial measures of its peer companies.

Earnings Available for Distribution

The Company's business objective is to provide attractive risk-adjusted returns to its stockholders, primarily through dividends and secondarily through capital appreciation. The Company uses earnings available for distribution as a measure of its investment portfolio's ability to generate income for distribution to common stockholders and to evaluate its progress toward meeting this objective. The Company calculates earnings available for distribution as U.S. GAAP net income (loss) attributable to common stockholders adjusted for (gain) loss on investments, net; realized (gain) loss on derivative instruments, net; unrealized (gain) loss on derivative instruments, net; TBA dollar roll income and (gain) loss on repurchase and retirement of preferred stock. The Company may add and has added additional reconciling items to its earnings available for distribution calculation as appropriate.

By excluding the gains and losses discussed above, the Company believes the presentation of earnings available for distribution provides a consistent measure of operating performance that investors can use to evaluate its results over multiple reporting periods and, to a certain extent, compare to its peer companies. However, because not all of the Company's peer companies use identical operating performance measures, the Company's presentation of earnings available for distribution may not be comparable to other similarly titled measures used by its peer companies. The Company excludes the impact of gains and losses when calculating earnings available for distribution because when analyzed in conjunction with its U.S. GAAP results, earnings available for distribution provides additional detail of its investment portfolio's earnings capacity. In addition, certain gains and losses represent one-time events.

Furthermore, gains and losses have not been accounted for consistently under U.S. GAAP. Under U.S. GAAP, certain gains and losses may be reflected in net income whereas other gains and losses may be reflected in other comprehensive income. For example, a portion of the Company's mortgage-backed securities were historically classified as available-for-sale securities, and changes in the valuation of these securities were recorded in other comprehensive income on its condensed consolidated balance sheets. The Company elected the fair value option for its mortgage-backed securities purchased on or after September 1, 2016, and changes in the valuation of these securities are recorded in other income (loss) in the condensed consolidated statements of comprehensive income (loss).

To maintain qualification as a REIT, U.S. federal income tax law generally requires that the Company distribute at least 90% of its REIT taxable income annually. Because the Company views earnings available for distribution as a consistent measure of its investment portfolio's ability to generate income for distribution to common stockholders, earnings available for distribution is one metric, but not the exclusive metric, that is used to determine the amount, if any, of dividends on common stock. However, earnings available for distribution should not be considered as an indication of the Company's taxable income, a guaranty of its ability to pay dividends or as a proxy for the amount of dividends it may pay, as earnings available for distribution excludes certain items that impact its cash needs.

Earnings available for distribution is an incomplete measure of the Company's financial performance and there are other factors that impact the achievement of the Company's business objective. The Company cautions that earnings available for distribution should not be considered as an alternative to net income (determined in accordance with U.S. GAAP), or as an indication of the Company's cash flow from operating activities (determined in accordance with U.S. GAAP), a measure of the Company's liquidity, or as an indication of amounts available to fund its cash needs.

The table below provides a reconciliation of U.S. GAAP net income (loss) attributable to common stockholders to earnings available for distribution for the following periods:

Three Months Ended

Nine Months Ended

$ in thousands, except per share data

September 30,
2026

June 30,
2026

September 30,
2025

September 30,
2026

September 30,
2025

Net income (loss) attributable to common stockholders

(98,797)

31,842

50,208

(90,076)

39,930

Adjustments:

(Gain) loss on investments, net

402,062

21,226

(49,540)

478,228

(126,430)

Realized (gain) loss on derivative instruments, net (1)

(275,006)

32,412

49,189

(265,918)

198,313

Unrealized (gain) loss on derivative instruments, net (1)

17,274

(43,239)

(10,833)

6,058

4,348

TBA dollar roll income (2)

4,755

4,857

—

13,778

1,147

(Gain) loss on repurchase and retirement of preferred
stock

7

(3)

2

31

(44)

Subtotal

149,092

15,253

(11,182)

232,177

77,334

Earnings available for distribution

50,295

47,095

39,026

142,101

117,264

Basic income (loss) per common share

(0.92)

0.34

0.74

(0.95)

0.61

Earnings available for distribution per common share (3)

0.47

0.50

0.58

1.50

1.79

(1)

U.S. GAAP gain (loss) on derivative instruments, net on the condensed consolidated statements of comprehensive income (loss) includes the following components:

Three Months Ended

Nine Months Ended

$ in thousands

September 30,
2026

June 30,
2026

September 30,
2025

September 30,
2026

September 30,
2025

Realized gain (loss) on derivative instruments, net

275,006

(32,412)

(49,189)

265,918

(198,313)

Unrealized gain (loss) on derivative instruments, net

(17,274)

43,239

10,833

(6,058)

(4,348)

Contractual net interest income (expense) on interest
rate swaps

19,950

20,757

29,138

62,285

85,848

Gain (loss) on derivative instruments, net

277,682

31,584

(9,218)

322,145

(116,813)

(2)

A TBA dollar roll is a series of derivative transactions where TBAs with the same specified issuer, term and coupon but different settlement dates are simultaneously bought and sold. The TBA settling in the later month typically prices at a discount to the TBA settling in the earlier month. TBA dollar roll income represents the price differential between the TBA price for current month settlement compared to the TBA price for forward month settlement. The Company includes TBA dollar roll income in earnings available for distribution because it is the economic equivalent of interest income on the underlying Agency RMBS, less an implied financing cost, over the forward settlement period. TBA dollar roll income is a component of gain (loss) on derivative instruments, net on the Company's condensed consolidated statements of comprehensive income (loss).

(3)

Earnings available for distribution per common share is equal to earnings available for distribution divided by the basic weighted average number of common shares outstanding.

The table below presents the components of earnings available for distribution for the following periods:

Three Months Ended

Nine Months Ended

$ in thousands

September 30,
2026

June 30,
2026

September 30,
2025

September 30,
2026

September 30,
2025

Effective net interest income (1)

53,876

50,857

46,752

153,359

140,012

TBA dollar roll income

4,755

4,857

—

13,778

1,147

Total expenses

(5,183)

(5,454)

(4,465)

(15,528)

(13,996)

Subtotal

53,448

50,260

42,287

151,609

127,163

Dividends to preferred stockholders

(3,153)

(3,165)

(3,261)

(9,508)

(9,899)

Earnings available for distribution

50,295

47,095

39,026

142,101

117,264

(1)

See below for a reconciliation of net interest income to effective net interest income, a non-GAAP measure.

Effective Interest Expense/Effective Cost of Funds/Effective Net Interest Income/Effective Interest Rate Margin

The Company calculates effective interest expense (and by calculation, effective cost of funds) as U.S. GAAP total interest expense adjusted for contractual net interest income (expense) on its interest rate swaps that is recorded as gain (loss) on derivative instruments, net. The Company views its interest rate swaps as an economic hedge against increases in future market interest rates on its borrowings. The Company adds back the net payments or receipts on its interest rate swap agreements to its total U.S. GAAP interest expense because the Company uses interest rate swaps to add stability to interest expense.

The Company calculates effective net interest income (and by calculation, effective interest rate margin) as U.S. GAAP net interest income adjusted for contractual net interest income (expense) on its interest rate swaps that is recorded as gain (loss) on derivative instruments, net.

The Company believes the presentation of effective interest expense, effective cost of funds, effective net interest income and effective interest rate margin measures, when considered together with U.S. GAAP financial measures, provides information that is useful to investors in understanding the Company's borrowing costs and operating performance.

The following tables reconcile total interest expense to effective interest expense and cost of funds to effective cost of funds for the following periods:

Three Months Ended

September 30, 2026

June 30, 2026

September 30, 2025

$ in thousands

Reconciliation

Cost of Funds /
Effective
Cost of Funds

Reconciliation

Cost of Funds
/ Effective
Cost of Funds

Reconciliation

Cost of Funds
/ Effective
Cost of Funds

Total interest expense

65,035

3.85 %

55,308

3.73 %

55,302

4.52 %

Less: Contractual net interest expense
     (income) on interest rate swaps
     recorded as gain (loss) on derivative
     instruments, net

(19,950)

(1.18) %

(20,757)

(1.40) %

(29,138)

(2.38) %

Effective interest expense

45,085

2.67 %

34,551

2.33 %

26,164

2.14 %

Nine Months Ended September 30,

2026

2025

$ in thousands

Reconciliation

Cost of Funds /
Effective
Cost of Funds

Reconciliation

Cost of Funds
/ Effective
Cost of Funds

Total interest expense

172,936

3.83 %

163,222

4.53 %

Less: Contractual net interest expense (income) on interest rate swaps
     recorded as gain (loss) on derivative instruments, net

(62,285)

(1.38) %

(85,848)

(2.39) %

Effective interest expense

110,651

2.45 %

77,374

2.14 %

The following tables reconcile net interest income to effective net interest income and net interest rate margin to effective interest rate margin for the following periods:

Three Months Ended

September 30, 2026

June 30, 2026

September 30, 2025

$ in thousands

Reconciliation

Net Interest
Rate Margin /
Effective
Interest Rate
Margin

Reconciliation

Net Interest
Rate Margin /
Effective
Interest Rate
Margin

Reconciliation

Net Interest
Rate Margin /
Effective
Interest Rate
Margin

Net interest income

33,926

1.38 %

30,100

1.42 %

17,614

0.90 %

Add: Contractual net interest income
     (expense) on interest rate swaps
     recorded as gain (loss) on derivative
     instruments, net

19,950

1.18 %

20,757

1.40 %

29,138

2.38 %

Effective net interest income

53,876

2.56 %

50,857

2.82 %

46,752

3.28 %

Nine Months Ended September 30,

2026

2025

$ in thousands

Reconciliation

Net Interest
Rate Margin /
Effective
Interest Rate
Margin

Reconciliation

Net Interest
Rate Margin /
Effective
Interest Rate
Margin

Net interest income

91,074

1.41 %

54,164

0.94 %

Add: Contractual net interest income (expense) on interest rate swaps
     recorded as gain (loss) on derivative instruments, net

62,285

1.38 %

85,848

2.39 %

Effective net interest income

153,359

2.79 %

140,012

3.33 %

Economic Debt-to-Equity Ratio

The following table shows the Company's debt-to-equity ratio and the Company's economic debt-to-equity ratio as of September 30, 2026 and June 30, 2026. The Company's debt-to-equity ratio is calculated in accordance with U.S. GAAP and is the ratio of total debt to total stockholders' equity.

The Company presents an economic debt-to-equity ratio, a non-GAAP financial measure of leverage that considers the impact of the off-balance sheet financing of its investments in TBAs that are accounted for as derivative instruments under U.S. GAAP and the impact of receivables and payables for unsettled trades (if any). The Company includes these types of TBAs at implied cost basis in its measure of leverage because a forward contract to acquire Agency RMBS in the TBA market carries similar risks to Agency RMBS purchased in the cash market and funded with on-balance sheet liabilities. Similarly, a contract for the forward sale of Agency RMBS has substantially the same effect as selling the underlying Agency RMBS and reducing the Company's on-balance sheet funding commitments. The Company adjusts leverage for receivables and payables for unsettled trades (if any) because sales or purchases of MBS are recorded on the balance sheet on the trade date, while any corresponding changes to repurchase agreement borrowings are not recorded until the settlement date. The Company believes that presenting its economic debt-to-equity ratio, when considered together with its U.S. GAAP financial measure of debt-to-equity ratio, provides information that is useful to investors in understanding how management evaluates at-risk leverage and gives investors a comparable statistic to those of other mortgage REITs who present a similar non-GAAP measure of leverage.

As of

$ in thousands

September 30,
2026

June 30,
2026

Repurchase agreements

6,842,947

6,210,403

Total stockholders' equity

903,368

990,321

Debt-to-equity ratio (1)

7.6

6.3

Economic debt-to-equity ratio (2)

8.3

7.5

(1)

Debt-to-equity ratio is calculated as the ratio of total repurchase agreements to total stockholders' equity.

(2)

Economic debt-to-equity ratio is calculated as the ratio of (i) the sum of total repurchase agreement borrowings and TBAs at implied cost basis ($674.1 million as of September 30, 2026; $1.2 billion as of June 30, 2026) to (ii) total stockholders' equity.

Average Balances

The table below presents information related to the Company's average earning assets, average earning asset yields, average borrowings and average cost of funds for the following periods:

Three Months Ended

Nine Months Ended

$ in thousands

September 30,
2026

June 30,
2026

September 30,
2025

September 30,
2026

September 30,
2025

Average earning assets (1)

7,574,311

6,631,046

5,382,189

6,723,237

5,294,406

Average earning asset yields (2)

5.23 %

5.15 %

5.42 %

5.24 %

5.47 %

Average borrowings (3)

6,754,709

5,927,725

4,889,782

6,021,714

4,799,047

Average cost of funds (4)

3.85 %

3.73 %

4.52 %

3.83 %

4.53 %

(1)

Average balances for each period are based on weighted month-end balances. Average earning assets do not include TBAs that are treated as derivative instruments under U.S. GAAP.

(2)

Average earning asset yields for each period are calculated by dividing interest income, including amortization of premiums and discounts, by average earning assets based on the amortized cost of the investments. All yields are annualized.

(3)

Average borrowings for each period are based on weighted month-end balances. Average borrowings do not include the off-balance sheet financing component of TBAs that are treated as derivative instruments under U.S. GAAP.

(4)

Average cost of funds is calculated by dividing annualized interest expense by average borrowings.

Greg Seals,
Investor Relations
404-439-3323

SOURCE Invesco Mortgage Capital Inc.