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Biden, first lady host teachers of the year
WASHINGTON (Gray News) - The president and first lady plan to host national and state teachers of the year at an event Wednesday.
President Joe Biden and first lady Jill Biden, who also is a teacher at Northern Virginia Community College, will be joined by Education Secretary Miguel Cardona in the East Room of the White House.
The Council of Chief State School Officers named Kurt Russell, a high school history teacher from Oberlin, Ohio, its national teacher of the year on April 19. He is in his 25th year in the classroom, teaching classes including African American history; U.S. history; International Baccalaureate History of the Americas; and Race, Gender and Oppression.
Russell also is the school’s head varsity basketball coach.
“I am truly humbled and honored to be selected as the National Teacher of the Year,” Russell said, via CCSSO news release. “With this recognition, I hope to bring attention and awareness to the importance of diverse faculty and representative curriculum that helps students feel more empowered in their education.”
Copyright 2022 Gray Media Group, Inc. All rights reserved. | https://www.wvva.com/2022/04/27/biden-first-lady-host-teachers-year/ | 2022-04-27T19:30:01Z |
Deputy reunites with 1-year-old girl he saved from fire
ORLANDO, Fla. (Gray News) – A sheriff’s deputy in Florida was reunited with the baby he saved from a fire in a dramatic rescue that was caught on camera.
The Orange County Sheriff’s Office posted photos on Facebook of Deputy William Puzynski reuniting with 1-year-old Sophia and her family.
Puzynski rescued Sophia by climbing to a third-floor balcony while a fire raged in their apartment Saturday.
Video of the rescue captured Puzynski telling the woman “hand me the baby, hand me the baby. We are coming,” as he goes up and balances himself on the railing before she extends the crying baby to him. “Please, come get me,” she pleads afterward.
He then brought the baby down before the mother, Barbara, and grandmother were subsequently rescued by firefighters.
At their reunion Wednesday, the sheriff’s office surprised Sophia and her family with new toys and gifts, since they lost so much in the fire.
“It was a joyful meeting, with tears & hugs & laughs - and lots of toys and supplies for mom & kids!” the sheriff’s office wrote on Facebook.
A family friend set up a GoFundMe page to help get the family back on their feet after the fire.
“Barbara has been through a lot her whole life, with this scenario being one of the worst she’s endured,” the GoFundMe page reads. “She is incredibly strong and resilient, having a hard time asking for help, which is why I want to put this GoFundMe together to give her some sense of peace during these tough times.”
Copyright 2022 Gray Media Group, Inc. All rights reserved. | https://www.wvva.com/2022/04/27/deputy-reunites-with-1-year-old-girl-he-saved-fire/ | 2022-04-27T19:30:08Z |
HSRC juggles lack of space, increased costs as it anticipates influx of incoming kittens
BECKLEY, W.Va. (WVVA) - This time of year, rescue organizations nationwide see an increase in kittens coming into their facilities. The Humane Society of Raleigh County (HSRC) is no acception.
Alexis Johnston, HSRC’s Outreach Coordinator, says that the cat birth rate rises between March and July. This creates a higher volume of cats and kittens needing care.
HSRC has been at maximum capacity for quite some time, meaning they can not accept any new animals until they see current ones adopted or moved into foster homes. Currently, the shelter has 56 cats in its care, nine of which are in foster care.
Johnston spoke of the critical role fostering plays in their ability to take on this expected increase.
“Foster homes save lives,” she explained. “The more that we can put into foster homes in the community, that means that that space is, essentially, open up for other cats to come in. The more foster families we have, the more kittens we can save.”
For those who can’t commit to fostering, Johnston says donations are also helpful, as it costs more to give a cat the care it needs prior to adoption than the shelter receives back in adoption fees.
The shelter is always taking monetary donations. Currently, they need wet cat food, litter, litter boxes, scoops, kitten bottles and kitten formula. Donations of any kind can be made in person or through the mail.
Johnston says community members can find additional ways to help online at hsrcwv.org/get-involved.
The Humane Society of Raleigh County is located at 325 Grey Flats Road.
Copyright 2022 WVVA. All rights reserved. | https://www.wvva.com/2022/04/27/hsrc-juggles-lack-space-increased-costs-it-anticipates-influx-incoming-kittens/ | 2022-04-27T19:30:16Z |
Ida retired from lists of hurricane names in the Atlantic
(Gray News) - The World Meteorological Organization announced Wednesday that Ida has retired from the rotating lists of Atlantic tropical cyclone names.
The decision was made based on the mass destruction and number of deaths caused by the category 4 hurricane in 2021.
Instead, Imani will be used in the lists of names.
According to the WMO, the names are repeated every six years, unless a storm is so deadly that its name is retired.
In total, 94 names have been retired from the Atlantic basin list since 1953.
The Atlantic hurricane season officially begins June 1 and continues through November.
According to the U.S. National Oceanic and Atmospheric Administration, 2021 was the third most active year on record in terms of named storms.
WMO reports there were a total of 21 named storms with winds of 39 mph or greater, four of which were major hurricanes reaching category 3 and above.
Peaking as a category 4, Ida was the most devastating storm of the 2021 hurricane season. It was responsible for 55 direct deaths and 32 indirect deaths, according to WMO.
Copyright 2022 Gray Media Group, Inc. All rights reserved. | https://www.wvva.com/2022/04/27/ida-retired-lists-hurricane-names-atlantic/ | 2022-04-27T19:30:25Z |
Midland Trail High School to implement SADD Chapter at start of 2022-2023 school year
HICO, W.Va. (WVVA) - Midland Trail High School Resource Officer Rachel Brandstatter saw success with a SADD (Students Against Destructive Decisions) Chapter at her previous school in Florida. Now, she is bringing the nationwide initiative to Fayette County.
Midland Trail High School will introduce a SADD Chapter to its students this fall.
Brandstatter says, once a month, students, who are committed to staying safe, will meet with adults, who are committed to keeping them safe. During these meetings, they will bring awareness to safe driving practices, the dangers of teen dating violence and more.
“These kids are kind of my heart and soul and I pour a lot into them already,” Brandstatter shared. “...I just want for them, when they go out, to have every tool that they can possibly have to make life better for them.”
Although the meetings will be hosted at Midland Trail, Brandstatter says she will work with school administration to allow other Fayette County students to join in.
Parents and students can learn more about the SADD Organization at www.sadd.org.
Copyright 2022 WVVA. All rights reserved. | https://www.wvva.com/2022/04/27/midland-trail-high-school-implement-sadd-chapter-start-2022-2023-school-year/ | 2022-04-27T19:30:35Z |
Missouri school district to host listening sessions on LGBTQ ‘safe space for all’ signs
GRAIN VALLEY, Mo. (KCTV/Gray News) - An uproar over a school district pulling down LGBTQ-friendly signs has the district rethinking its approach.
On Monday, a small group of students protested the removal of rainbow-colored “safe space for all” signs that were hung in some classrooms. As the day went on, the backlash grew on social media.
On Tuesday, Grain Valley Schools sent a statement saying the feedback on their sudden decision has prompted them to host listening sessions on the matter.
Some of the reaction was intensely personal.
Justice Horn is now a 20-something Black, gay activist in Kansas City who is vice chairman of the Kansas City LGBTQ Commission and sits on the Jackson County Children’s Services Fund Board. But 11 years ago, he was a student in Grain Valley Schools. What happened this week led him to open up about an experience he’s never before shared publicly.
In 2011, Horn was an eighth-grader at Grain Valley South Middle School. He played in the band and on the football team.
“But I felt alone,” Horn said. “I was bullied for, you know, my sexual orientation and how I talked and how I looked.”
That year, he tried to take his own life. He said stickers like the ones provided to schools by the Gay, Lesbian and Straight Educational Network (GLSEN) might have prevented that. Now, he added, pulling down those signs will undoubtedly make some vulnerable kids feel unwelcome.
Because it’s more than just a sign for some.
“To a queer student that may feel that they don’t have a place in this world, that means the world,” Horn said.
The signs came down suddenly this week. Former students who graduated after Horn told him they’d been up for at least five years.
On Monday, the district sent the following statement on what occurred:
“The School Board recently received a concern about the display of cards and stickers by some high school teachers to signal students could feel safe approaching them regarding personal LGBTQ questions. The Board directed the administration to have the cards and stickers removed.
Our goal is for every classroom to be a safe place for all students, not just in classrooms where teachers choose to display a particular sign.
We remain committed to providing professional development to help our staff create a safe, collaborative, and inclusive environment, consistent with our core beliefs, where each student feels a sense of belonging. The use of these cards, however, is determined to not be an appropriate step at this time.”
“If it was simply a school board member directing administration, why do we need a school board? I mean, this should have been a vote,” Horn remarked.
KCTV emailed the district to ask what the nature of the concern was, in what venue it was presented and when, as well as what action was taken in a public board meeting, but has not yet received a reply.
KCTV checked the agenda for the last board meeting and couldn’t find the topic. The minutes aren’t up yet, and their meetings aren’t video-streamed. At the bottom of every agenda is the question, “Are all decisions made in the best interest of kids?”
Horn says this one was clearly not.
“Kiddos who may not have supportive families, who may not have supportive parents, or who may not even have supportive friends or even a school who supports them, that is a scary thing to know,” he said.
The year Horn considered suicide, his parents transferred him out of the district and he met a teacher he could confide in.
On Tuesday, Grain Valley Schools issued a new statement titled “Next Steps Forward As A Community,” which reads as follows:
“We appreciate the comments we have received since communicating the decision to remove safe place cards and stickers from high school classrooms. The feedback will help us be better.
An inclusive environment is essential, including for our student LGBTQ community. We recognize there is important work ahead of us to ensure an inclusive school environment.
In the upcoming weeks, we will host listening sessions for our community stakeholders, so our students, families, and staff have an opportunity for dialogue. School board members and the administration will participate. We will use this input to drive the action that will follow so that together we become the school district our community expects.”
No dates have been set yet for the listening sessions. KCTV is awaiting clarification on whether the signs will remain down in the interim.
Copyright 2022 KCTV via Gray Media Group, Inc. All rights reserved. | https://www.wvva.com/2022/04/27/missouri-school-district-host-listening-sessions-lgbtq-safe-space-all-signs/ | 2022-04-27T19:30:41Z |
WATCH: Chair flies out of truck on highway, crashes into police cruiser
Published: Apr. 27, 2022 at 3:12 PM EDT|Updated: 18 minutes ago
VERMONT (Gray News) – An unsecured chair flew out of the back of a pickup truck on the highway and smashed into a Vermont State Police cruiser.
Trooper Dylan LaMere’s dashcam video shows the chair fly toward the cruiser before slamming into the front windshield.
According to Vermont State Police, no one was hurt but the cruiser had a lot of damage.
Police say the driver of the pickup truck was given a ticket for having an unsecured load.
Copyright 2022 Gray Media Group, Inc. All rights reserved. | https://www.wvva.com/2022/04/27/watch-chair-flies-out-truck-highway-crashes-into-police-cruiser/ | 2022-04-27T19:30:47Z |
14-year-old held on $1 million bond in murder of girl, 10, in Wisconsin
CHIPPEWA FALLS, Wis. (WEAU/Gray News) - Cash bond has been set at $1 million for a teenage homicide suspect in the death of a 10-year-old girl.
Iliana Peters,10, was found dead near the Duncan Creek Trail in Chippewa Falls Monday morning after being reported missing Sunday evening.
The 14-year-old suspect, who is not being named, was taken into custody Monday night. He is charged with first-degree intentional homicide, first-degree sexual assault resulting in great bodily harm and first-degree sexual assault of a child under the age of 13 resulting in great bodily harm.
WEAU reports as a condition of his bond, the suspect is not allowed any contact with children, cannot possess dangerous weapons, and can have supervised contact with siblings.
Chippewa County District Attorney Wade Newell asked for the $1 million bond, which was granted, based on what the suspect told investigators and what he said was a need to protect the community. The suspect’s defense requested a $100,000 cash bond.
Newell said in court that the statement the suspect made to law enforcement was that he intended to rape and kill the victim from the start when he left the house with her. Newell said that the suspect told investigators he hit Peters with a stick before strangling the victim to death and then sexually assaulting her.
Newell said after the court appearance that he has seen cases like this before and detailed the process of leading to the charges, saying “a lot of people have been involved in this.”
Two of the three charges carry a maximum penalty of life in prison. The 14-year-old is being tried in adult court.
The suspect will appear in court next on May 5 for a status conference to determine his representation in court. He is being held in the Eau Claire Juvenile Detention Center.
Chippewa Falls residents are remembering Peters with makeshift memorials in the city, while churches held vigils Monday night.
Copyright 2022 WEAU via Gray Media Group, Inc. All rights reserved. | https://www.whsv.com/2022/04/27/14-year-old-held-1-million-bond-murder-girl-10-wisconsin/ | 2022-04-27T20:49:11Z |
Shootings, standoff end with 5 dead, including suspected gunman in Biloxi hotel killings
BILOXI/GULFPORT, Miss. (WLOX) - The man suspected of killing three people at a Mississippi hotel Wednesday morning is now dead following a two-hour standoff with police, WLOX reported.
A fourth victim who was assaulted during a carjacking has also died.
According to Gulfport police, the suspect was holding a hostage inside the Canal Grocery convenience store. After hours of negotiations, officers tear gassed the building and went in to find the suspect dead. Officials did not identify the suspect or say how he died, only that he was found dead when officers went into the building.
The shooting in Biloxi happened around 9 a.m. at the Broadway Inn. Police said three people were killed at the hotel.
A witness at the hotel described a chaotic scene with people fleeing the area. He heard the shots ring out and said he tried to help two of the victims, who he identified as the hotel owner and an employee. The third victim was a guest at the hotel.
The daughter of a hotel employee said the violence started with an argument about money that escalated.
Police believe the gunman left the hotel and then assaulted another victim in Gulfport near Rio Grande Street before police caught up with him on 28th Street. As for the gunman’s other victim, a public works staffer contracted by the City of Gulfport was shot and is being treated at the hospital.
Copyright 2022 WLOX via Gray Media Group, Inc. All rights reserved. | https://www.whsv.com/2022/04/27/3-dead-biloxi-hotel-shooting-police-standoff-with-suspect/ | 2022-04-27T20:49:18Z |
74-year-old Alabama man charged with murder in 1988 cold case investigation
CULLMAN, Ala. (WAFF/Gray News) - Investigators with a north Alabama sheriff’s office arrested a 74-year-old man in connection to a cold case murder investigation beginning over 30 years ago.
WAFF reported that on Tuesday, Marvin McClendon, 74, was arrested by the Cullman County Sheriff’s Office and charged with a murder that he allegedly committed in 1988 in Essex County, Massachusetts.
According to the Essex County District Attorney, McClendon is suspected of murdering 11-year-old Melissa Anne Tremblay in September 1988.
“I want to thank everyone involved in this investigation from beginning to end,” Essex District Attorney Jonathan Blodgett said. “Their tireless pursuit of justice for Melissa has brought us to this moment. We never forgot about Melissa, nor did we give up on holding her killer accountable.”
According to the release from the district attorney, Melissa was last seen playing in the neighborhoods of Lawrence, Massachusetts, while her mother and her mother’s boyfriend were at a nearby social club on Sept. 11, 1988.
After searching for her to no avail, her mother reported her missing to the police.
Her body was later found in the old Boston & Maine Railway Yard. She had been stabbed to death.
The release stated that since then countless witnesses, suspects and persons of interest have been interviewed in connection to Melissa’s death.
Evidence recovered from her body was instrumental to solving the case.
McClendon lived in nearby Chelmsford, Massachusetts, at the time of Melissa’s death and had known connections to Lawrence, according to the release.
At this time, McClendon is being held in the Cullman County Detention Center until he can be extradited to Massachusetts.
Copyright 2022 WAFF via Gray Media Group, Inc. All rights reserved. | https://www.whsv.com/2022/04/27/74-year-old-alabama-man-charged-with-murder-1988-cold-case-investigation/ | 2022-04-27T20:49:25Z |
Biden, first lady host teachers of the year
WASHINGTON (Gray News) - The president and first lady plan to host national and state teachers of the year at an event Wednesday.
President Joe Biden and first lady Jill Biden, who also is a teacher at Northern Virginia Community College, will be joined by Education Secretary Miguel Cardona in the East Room of the White House.
The Council of Chief State School Officers named Kurt Russell, a high school history teacher from Oberlin, Ohio, its national teacher of the year on April 19. He is in his 25th year in the classroom, teaching classes including African American history; U.S. history; International Baccalaureate History of the Americas; and Race, Gender and Oppression.
Russell also is the school’s head varsity basketball coach.
“I am truly humbled and honored to be selected as the National Teacher of the Year,” Russell said, via CCSSO news release. “With this recognition, I hope to bring attention and awareness to the importance of diverse faculty and representative curriculum that helps students feel more empowered in their education.”
Copyright 2022 Gray Media Group, Inc. All rights reserved. | https://www.whsv.com/2022/04/27/biden-first-lady-host-teachers-year/ | 2022-04-27T20:49:31Z |
Cooler temperatures continue
Freeze and frost over the next few nights
WEDNESDAY: Clear and pleasantly cool into the evening, the breeze continues with temperatures dropping into the 50s. Winds lighten up some overnight but that will still prevent a frost. Turning cold with overnight lows in the upper 20s to low 30s. Some areas will be at or just below freezing overnight so make sure your plants are covered or brought inside.
THURSDAY: Plenty of sunshine to start the day and chilly. Temperatures rising into the 40s. Mild in the afternoon but feeling cool with the breeze. Winds not as strong as Wednesday. Highs in the upper 50s to low 60s.
Clear skies for the evening and pleasantly cool with temperatures falling into the 50s. Adding a few clouds overnight with wind calming. This will allow for a widespread frost. Some areas may fall to the freezing mark. Make sure your plants are covered or brought inside. Overnight lows in the low to mid 30s.
FRIDAY: Sunshine with some clouds to start the day and chilly with temperatures rising into the 40s. A much nicer day and turning warmer with highs in the low to mid 60s. Adding more clouds for the evening and overnight with temperatures falling into the upper 30s to low 40s.
SATURDAY: More clouds than sun to start the day and pleasantly cool with temperatures rising into the 50s. Peeks of sunshine in the afternoon with clouds sticking around and mild for the day with highs in the mid to upper 60s. Plenty of clouds overnight with a few showers by around midnight and chilly with lows in the mid to upper 40s.
SUNDAY: A pleasantly cool start with temperatures rising into the 50s and rather cloudy. Plenty of clouds will be around but mild with highs in the mid to upper 60s. A few late day to night showers across the area but not a total washout. A comfortable evening with temperatures in the 60s and pleasantly cool overnight with lows in the low to mid 50s.
MONDAY: A pleasant morning with temperatures rising into the 60s and more clouds than sun. Staying mostly overcast for the day but warm with highs in the low to mid 70s. A warm evening with temperatures in the 70s. Pleasant overnight and mostly cloudy with lows in the low to mid 50s.
TUESDAY: Another pleasant morning with temperatures rising into the 60s and clouds. Overcast for the day and warm again with highs in the low to mid 70s. Watching our next system that could bring a few scattered showers and storms in the afternoon and evening hours. A warm evening with temperatures in the 70s and pleasant overnight with lows around low to mid 50s. A few lingering scattered showers and storms before midnight.
As always, you can get the latest updates by downloading and checking the WHSV Weather App.
**A reminder that spring wildfire season is underway for both Virginia and West Virginia. No outdoor burning before 4pm in Virginia until April 30th. No outdoor burning in West Virginia before 5pm through May 31.**
Copyright 2021 WHSV. All rights reserved. | https://www.whsv.com/2022/04/27/cooler-temperatures-continue/ | 2022-04-27T20:49:38Z |
Democratic lawmaker: Biden suggests he’ll ease student loan burden
WASHINGTON (AP) — President Joe Biden has signaled he might forgive some student loan debt and further extend the federal moratorium on repayments, a lawmaker who discussed the issue with him said Wednesday.
The White House was notably more measured about Biden’s stance, but such moves would be a boon to many of the 43 million Americans carrying student loans worth $1.6 trillion, according to federal figures. It would also be a win for Democratic and progressive leaders who have long pressed Biden to carry through on a 2020 campaign promise that as president he would “immediately” cancel up to $10,000 in debt per student.
Biden’s remarks came during a wide-ranging Monday meeting at the White House with seven members of the Congressional Hispanic Caucus, according to Rep. Tony Cardenas, D-Calif., who was among them. He said in an interview Wednesday that he asked Biden to extend the moratorium on debt payments through this year, instead of letting it expire Aug. 31.
“He immediately smiled and said, “I’ve extended in the past, and you’re going to like what I do next,’” Cardenas said. “So I said, ‘Okay, wonderful. Next question.’”
Cardenas said he then asked about forgiving at least $10,000 in debt for each student, which he said the caucus believes Biden can do using executive powers. That would preclude the need for legislation from Congress, where there is Republican opposition.
“He said, ‘Yes, I’m exploring doing something on that front,’” said Cardenas. “And he also smiled and said, ‘You’re going to like what I do on that as well.’”
Senate Majority Leader Chuck Schumer, D-N.Y., sounded a similar note of optimism Wednesday. “I think the president is moving in our direction. My talks with him and his staff have been very fruitful over the last little while,” Schumer said.
White House press secretary Jen Psaki said Tuesday that during the meeting, “what he reiterated is that he will make a decision before” the current repayment suspension ends Aug. 31. She said Biden “is looking at other executive authority options he has to bring relief to people who have student loans.”
Sweeping student loan forgiveness is anathema for many Republicans and others concerned about its costs to the government at a time of huge federal deficits.
“Desperate polls call for desperate measures: Dems consider forgiving trillions in student loans,” Sen. Mitt Romney, R-Utah, tweeted mockingly Wednesday. “Other bribe suggestions: Forgive auto loans? Forgive credit card debt? Forgive mortgages? And put a wealth tax on the super-rich to pay for it all. What could possibly go wrong?”
Cardenas said Biden didn’t specify when he would take action or detail what he would do, beyond saying, “Soon.”
“I got the strong feeling, and so did my colleagues, that he enjoyed answering those questions with his body language, with his words, with the smile on his face, and encouraging us that we’re going to like what he’s going to do,” Cardenas said.
Cardenas said the question of whether debt forgiveness should be curbed for higher-income students, which could curb the costs of the proposal, did not come up during the White House meeting. He also said when Biden asked if forgiveness should apply to borrowers who attended private and public schools, he and other lawmakers said they wanted students from both types of institutions to be eligible.
Some Democrats fear providing loan relief to students who attended expensive private universities would provide an easy campaign target for Republicans in this fall’s elections for control of Congress.
Even so, remarks by several Democrats suggest a broad effort to ease student debt could help the party with minority voters.
Cardenas said he told Biden that Hispanic students with college debt typically face higher long-term debt burdens than white students. “We’re trying to help all former students, but Hispanic households and people trying to get back on their feet, it’s affecting Hispanics at a higher level,” Cardenas said.
Rep. Raul Ruiz, D-Calif., chair of the caucus, said in a separate statement Wednesday that Hispanic students “disproportionately carry the burden of student debt in our nation.” He said the caucus would continue working with Biden “to make sure our students have a seat at the table when it comes to their financial health and well-being.”
Schumer sounded the same theme, saying that Black, Hispanic and other minority voters tend to carry more debt deeper into their lives. “This isn’t just the right thing to do for our economy. It’s the right thing to do for racial equity,” he said.
The pandemic prompted then-President Donald Trump and Congress to begin providing student loan relief in March 2020.
After initially letting borrowers choose to suspend payments for at least 60 days, the moratorium was made automatic and eventually extended several times by Trump and later Biden. Interest rates during the suspension have been 0%.
Also at Monday’s White House meeting, Rep. Nanette Barragan, D-Calif., said she told Biden he should let Trump-era restrictions letting authorities quickly expel migrants crossing from the Mexican border expire as planned on May 23. Other participants at that meeting said Biden expressed opposition to the restrictions but did not specifically say what he would do.
Many Democrats oppose those curbs, which let the government cite fears about spreading COVID-19 to reject asylum seekers. Republicans and significant numbers of Democrats want the procedures left in place, and letting them lapse is seen as a political vulnerability for Democrats among moderate voters.
___
AP reporters Kevin Freking and Chris Megerian contributed.
Copyright 2022 The Associated Press. All rights reserved. | https://www.whsv.com/2022/04/27/democratic-lawmaker-biden-suggests-hell-ease-student-loan-burden/ | 2022-04-27T20:49:47Z |
Fauci: US in ‘a different moment’ but pandemic not over
(AP) – Dr. Anthony Fauci said Wednesday the coronavirus is under better control in the United States, but the pandemic isn’t over — and the challenge is how to keep improving the situation.
“We are in a different moment of the pandemic,” said Fauci, the nation’s top infectious disease expert, in an interview with The Associated Press.
After a brutal winter surge, “we’ve now decelerated and transitioned into more of a controlled phase,” he said. “By no means does that mean the pandemic is over.”
His comments came a day after he said on the PBS “NewsHour” that the U.S. was “out of the pandemic phase” and also told The Washington Post that the country was finally “out of the full-blown explosive pandemic phase.”
Fauci’s remarks reflect how health authorities are wrestling with the next stage of the pandemic — how to keep COVID-19 cases and hospitalizations manageable and learn to live with what’s still a mutating and unpredictable virus.
Fauci said the U.S. appears to be out of what he called the “fulminant phase” of the pandemic, huge variant surges that at their worst sparked hundreds of thousands of infections daily, along with tens of thousands of hospitalizations and thousands of deaths.
COVID-19 cases are at a lower point than they’ve been in months and two-thirds of the U.S. population is vaccinated. Nearly half of those who need a booster dose have gotten the extra shot, and effective treatments are available.
“We are much, much better off than we were a year ago,” he said.
Still, there have been lulls before, and while cases are low, they are increasing in many parts of the country. Vaccination rates worldwide are far lower, especially in developing countries.
To keep improving, Fauci ticked off a to-do list: Get more people fully vaccinated; develop even better vaccines; figure out the best booster strategy to counter variants; and make sure people can access treatment as soon as they need it.
“We can’t take our foot off the pedal,” Fauci said. “There’s a lot of viral dynamics throughout the world and we still may get another variant which could lead to another potential surge.”
___
The Associated Press Health and Science Department receives support from the Howard Hughes Medical Institute’s Department of Science Education. The AP is solely responsible for all content.
Copyright 2022 The Associated Press. All rights reserved. | https://www.whsv.com/2022/04/27/fauci-us-moving-endemic-phase-covid/ | 2022-04-27T20:49:54Z |
McCarthy defends 1/6 audio, House GOP backs ‘next speaker’
WASHINGTON (AP) — House GOP Leader Kevin McCarthy told colleagues Wednesday he never asked then-President Donald Trump to resign over the Jan. 6, 2021, insurrection at the Capitol as he defended private conversations around the siege that have spilled into the open and jeopardized his leadership.
It was the first time McCarthy, who is in line to become House speaker if Republicans win control in the fall midterm election, addressed his colleagues face-to-face as he works to stem the fallout from his criticisms of Trump and far-right members of their party. He received a standing ovation.
One Republican in the room said the meeting was “cathartic” for lawmakers. Another voiced confidence that McCarthy would be the “next speaker.”
“He’s got the support of the conference and then some,” Rep. Dan Meuser, R-Pa., said as he left the private session at GOP headquarters across the street from the Capitol.
Yet amid the show of support, McCarthy was challenged by two of the party’s most hard-right lawmakers — Matt Gaetz of Florida and Marjorie Taylor Greene of Georgia — who said they felt particularly singled out by the leadership team for their fiery comments around Jan. 6. Trump ally Rep. Scott Perry, R-Pa., who helped organize challenges to the 2020 election results, also voiced concerns, another Republican said.
But the detractors appeared to be in a dwindling minority as rank-and-file lawmakers rallied around McCarthy, the man who recruited many of them to Congress and is now raising untold millions to help them win back the House majority.
“You guys obsess over January 6. Nobody cares,” Rep. Glenn Grothman, R-Wis., told a gaggle of reporters outside House GOP headquarters. “It’s history.”
A California Republican long eyeing the speaker’s gavel, McCarthy is at a critical juncture as he works to ascend to the top leadership position. It will be his second try after a failed 2015 bid — but one now fully dependent on his volatile relationship with Trump, who still holds great influence over the party and can make and break careers.
New audio recordings released in recent days by The New York Times portray McCarthy as fed up with Trump in the aftermath of the Capitol attack, when the defeated president rallied his supporters to head to Congress and object to Democrat Joe Biden’s election victory.
In the recordings, McCarthy is heard telling Republicans privately that he was considering asking Trump to resign. In another recording released late Tuesday, McCarthy warns that dangerous public commentary from Gaetz and others is “putting people in jeopardy” of potential violence.
McCarthy has denied The New York Times account of events, leading Democrats and others to call him a liar, as audio of the secretly recorded calls was released. The House committee investigating Jan. 6 is seeking an interview with him.
On Wednesday, McCarthy stood at party headquarters and defended his actions, suggesting he was merely running through possible scenarios as Democrats moved to impeach Trump in the aftermath of the violent siege.
In the GOP meeting, McCarthy clearly stated that he never asked the president to resign, the Republicans said. He has also publicly said he did not do so. The Times did not report that he asked Trump to resign, only that he told Rep. Liz Cheney, R-Wyo., and other members he would.
As president, Trump had affectionately referred to McCarthy as “My Kevin,” one of his earliest endorsers, but their relationship has frayed over time. McCarthy momentarily turned on Trump as his supporters stormed the Capitol on Jan. 6 to disrupt certification of Biden’s 2020 presidential win.
In the days after the riot, it seemed Republicans in Washington might part ways with Trump. Senate Republican Leader Mitch McConnell gave blistering speeches against Trump, and McCarthy’s public and private conversations at that time show flashes of anger and the depth of angst over the shocking, devastating riot by Trump supporters.
But once Biden took office McCarthy quickly went to Trump’s Mar-a-Lago club in Florida to patch things up with the defeated president.
Trump and McCarthy spoke last week, and the former president told the leader he was “not mad” about the disclosures.
To become speaker if Republicans win back the House, McCarthy would need to win at least 218 votes.
“President Trump said their relationship has never been stronger. That’s good enough for me,” said Roger Williams, R-Texas. “We’re totally supportive of Kevin McCarthy.”
“He’s got my support. He’s got everybody else’s support, too,” he said.
Still, Gaetz and other detractors remain a force McCarthy must contend with, much like the lawmakers six years ago who denied him backing to become speaker. He abruptly dropped out of the race.
Gaetz tweeted late Tuesday that the private comments from McCarthy and Rep. Steve Scalise, the No. 2 Republican leader, to Cheney and others are “the behavior of weak men, not leaders.” He brushed off interviews Tuesday night and Wednesday morning.
Among past rivals for the speaker’s gavels, Scalise of Louisiana is no longer outwardly chasing McCarthy for the job, and has in fact become wrapped in the Jan. 6 fallout.
Scalise also faced questions Wednesday in the private meeting after the Times had reported that he joined McCarthy in raising concerns about Gaetz’s public comments at the time, Republicans said.
Scalise said the call had been a private conversation, and no one had been accused of anything.
In a statement, Scalise said “it’s pathetic” that this is what the media chooses to cover. He said with inflation, crime and other issues, it’s obvious that Democrats and the media “continue to double down on their obsession with January 6th” to distract public attention from “the absolutely dismal state of the country.”
Yet other Republicans remained noncommittal about McCarthy. Asked if he still has the votes to be the party leader, Rep. Ralph Norman, R-S.C., said, “Time will tell.”
From the Democratic side, Rep. Hakeem Jeffries of New York, the caucus chairman who is also seen as a potential speaker candidate if Democrats retain control, dismissed the Republican strategy for winning back the House as nothing but lies.
“Every day it’s a five-point playbook: Number one, lie. Number two, lie. Number three, lie. Number four, lie. Number five, lie again,” he said.
Jeffries said it would be nice if, “instead of the infighting, the chaos, the shots fired against each other, the knife fights in a phone booth that is the modern day House Republican Conference, that they would actually decide to work with us on issues of importance to the American people.”
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Associated Press writers Kevin Freking and Alan Fram and video journalist Rick Gentilo contributed to this report.
Copyright 2022 The Associated Press. All rights reserved. | https://www.whsv.com/2022/04/27/mccarthy-defends-16-audio-house-gop-backs-next-speaker/ | 2022-04-27T20:50:00Z |
Missouri school district to host listening sessions on LGBTQ ‘safe space for all’ signs
GRAIN VALLEY, Mo. (KCTV/Gray News) - An uproar over a school district pulling down LGBTQ-friendly signs has the district rethinking its approach.
On Monday, a small group of students protested the removal of rainbow-colored “safe space for all” signs that were hung in some classrooms. As the day went on, the backlash grew on social media.
On Tuesday, Grain Valley Schools sent a statement saying the feedback on their sudden decision has prompted them to host listening sessions on the matter.
Some of the reaction was intensely personal.
Justice Horn is now a 20-something Black, gay activist in Kansas City who is vice chairman of the Kansas City LGBTQ Commission and sits on the Jackson County Children’s Services Fund Board. But 11 years ago, he was a student in Grain Valley Schools. What happened this week led him to open up about an experience he’s never before shared publicly.
In 2011, Horn was an eighth-grader at Grain Valley South Middle School. He played in the band and on the football team.
“But I felt alone,” Horn said. “I was bullied for, you know, my sexual orientation and how I talked and how I looked.”
That year, he tried to take his own life. He said stickers like the ones provided to schools by the Gay, Lesbian and Straight Educational Network (GLSEN) might have prevented that. Now, he added, pulling down those signs will undoubtedly make some vulnerable kids feel unwelcome.
Because it’s more than just a sign for some.
“To a queer student that may feel that they don’t have a place in this world, that means the world,” Horn said.
The signs came down suddenly this week. Former students who graduated after Horn told him they’d been up for at least five years.
On Monday, the district sent the following statement on what occurred:
“The School Board recently received a concern about the display of cards and stickers by some high school teachers to signal students could feel safe approaching them regarding personal LGBTQ questions. The Board directed the administration to have the cards and stickers removed.
Our goal is for every classroom to be a safe place for all students, not just in classrooms where teachers choose to display a particular sign.
We remain committed to providing professional development to help our staff create a safe, collaborative, and inclusive environment, consistent with our core beliefs, where each student feels a sense of belonging. The use of these cards, however, is determined to not be an appropriate step at this time.”
“If it was simply a school board member directing administration, why do we need a school board? I mean, this should have been a vote,” Horn remarked.
KCTV emailed the district to ask what the nature of the concern was, in what venue it was presented and when, as well as what action was taken in a public board meeting, but has not yet received a reply.
KCTV checked the agenda for the last board meeting and couldn’t find the topic. The minutes aren’t up yet, and their meetings aren’t video-streamed. At the bottom of every agenda is the question, “Are all decisions made in the best interest of kids?”
Horn says this one was clearly not.
“Kiddos who may not have supportive families, who may not have supportive parents, or who may not even have supportive friends or even a school who supports them, that is a scary thing to know,” he said.
The year Horn considered suicide, his parents transferred him out of the district and he met a teacher he could confide in.
On Tuesday, Grain Valley Schools issued a new statement titled “Next Steps Forward As A Community,” which reads as follows:
“We appreciate the comments we have received since communicating the decision to remove safe place cards and stickers from high school classrooms. The feedback will help us be better.
An inclusive environment is essential, including for our student LGBTQ community. We recognize there is important work ahead of us to ensure an inclusive school environment.
In the upcoming weeks, we will host listening sessions for our community stakeholders, so our students, families, and staff have an opportunity for dialogue. School board members and the administration will participate. We will use this input to drive the action that will follow so that together we become the school district our community expects.”
No dates have been set yet for the listening sessions. KCTV is awaiting clarification on whether the signs will remain down in the interim.
Copyright 2022 KCTV via Gray Media Group, Inc. All rights reserved. | https://www.whsv.com/2022/04/27/missouri-school-district-host-listening-sessions-lgbtq-safe-space-all-signs/ | 2022-04-27T20:50:07Z |
Officers: No injuries on Amber Heard after fight with Johnny Depp
FALLS CHURCH, Va. (AP) — May 27, 2016, was the day that Johnny Depp and Amber Heard’s marriage went from private misery to public, career-killing spectacle.
Heard, who had just filed for divorce, arrived at a Los Angeles courthouse that day to seek a temporary restraining order, showing up with a clear mark on her face, which she says Depp inflicted during a fight six days prior. Photographers captured the scene, and the allegations became tabloid fodder across the globe.
Depp says he never hit her, and now he’s suing Heard for libel in Fairfax County Circuit Court. On Wednesday, jurors in the case heard from police officers who responded to the couple’s penthouse immediately after the fight. None of the officers saw the red mark that was so prominent six days later.
Officer Tyler Hadden, one of the officers who responded to the couple’s penthouse apartment on May 21, 2016, said Heard refused to talk to officers and had no signs of an injury, although he acknowledged she’d been crying and was red-faced.
“Just because I see a female with pink cheeks and pink eyes doesn’t mean something happened,” he said in a recorded deposition played for jurors Wednesday.
Depp had already left the penthouse by the time officers arrived. Officers said they had no idea who Heard was, or that she was married to Depp. He said neither Heard nor anyone at the penthouse complex was willing to tell him or the other officers who Heard’s husband was.
Jurors heard similar testimony Tuesday from an officer who accompanied Hadden to the penthouse.
An officer who made a follow-up visit that night, William Gatlin, testified Wednesday that he saw no injuries either, though he acknowledged that his visit was brief and he got no closer than 10 feet from Heard. He said his check was a perfunctory one because it appeared that the call was just a duplicate to the one that Hadden had already responded to.
The jury saw bodycam video of Gatlin’s response, which was less than two minutes. Heard could only be seen at a distance.
Heard’s lawyers, in their questions, have suggested that Heard could have covered her injuries with makeup, because at that point she still wanted to protect Depp. They also asked officers why they didn’t investigate a potential case of domestic violence more thoroughly.
The officers’ testimony is some of Depp’s best evidence that Heard contrived the allegations against her ex-husband. It complements earlier testimony from witnesses who say they saw Heard and her sister practicing fake punches in the days after the attack.
It’s far from definitive, though. Heard’s lawyers have yet to put on their case, and some of her friends say they were at the penthouse when Depp allegedly attacked her.
And even if jurors were to conclude that Depp never assaulted his wife on May 21, they have heard evidence of other alleged assaults before and during the couple’s brief marriage.
Depp sued Heard for libel after she wrote an op-ed piece piece in The Washington Post in 2018 referring to herself as “a public figure representing domestic abuse.” The article doesn’t mention Depp by name, but his lawyers say the article defames him nevertheless because it’s a clear reference to the highly publicized allegations Heard made when she filed for divorce in 2016 and obtained a temporary restraining order as well.
Copyright 2022 The Associated Press. All rights reserved. | https://www.whsv.com/2022/04/27/officers-no-injuries-amber-heard-after-fight-with-johnny-depp/ | 2022-04-27T20:50:16Z |
Russia releases US Marine vet as part of prisoner exchange
WASHINGTON (AP) — Russia and the United States have carried out an unexpected prisoner exchange in a time of high tensions, trading a Marine veteran jailed by Moscow for a convicted Russian drug trafficker serving a long prison sentence in America.
The deal announced by both countries involving Trevor Reed, an American imprisoned for nearly three years, would have been a notable diplomatic maneuver even in times of peace. It was all the more surprising because it was done as Russia’s war with Ukraine has driven relations with the U.S. to their lowest point in decades.
The U.S., for its part, returned Konstantin Yaroshenko, a Russian pilot who’d been serving a 20-year federal prison sentence in Connecticut for conspiracy to smuggle cocaine into the U.S. after he was arrested in Liberia in 2010 and extradited to the U.S. The Justice Department has described him as “an experienced international drug trafficker” who conspired to distribute thousands of kilograms of cocaine around the world.
Despite Reed’s release, other Americans remain jailed in Russia, including WNBA star Brittney Griner and Michigan corporate security executive Paul Whelan.
The exchange took place in Turkey, Reed’s father, Joey Reed, told CNN.
“The American plane pulled up next to the Russian plane and they walked both prisoners across at the same time, like you see in the movies,” he said.
The swap seemed unlikely to herald any larger breakthrough between Washington and Moscow. A senior Biden administration official cautioned that the negotiations centered on a “discrete set of prisoner issues” and did not represent a change to the U.S. government’s condemnation of Russia’s violence against Ukraine.
“Where we can have discussions on issues of mutual interest we will try to talk to the Russians and have a constructive conversation without any way changing our approach to the appalling violence in Ukraine,” the official told reporters, speaking on condition of anonymity under ground rules set by the administration.
President Joe Biden, who met in Washington with Reed’s parents last month, trumpeted Reed’s release and noted without elaboration that “the negotiations that allowed us to bring Trevor home required difficult decisions that I do not take lightly.” The Russian foreign ministry described the exchange as the “result of a long negotiation process.”
Reed, a 30-year-old former Marine from Texas, was arrested in the summer of 2019 after Russian authorities said he assaulted an officer while being driven by police to a police station following a night of heavy drinking. He was later sentenced to nine years in prison, though his family maintained his innocence and the U.S. government described him as unjustly detained and expressed concern about his declining health.
A lawyer for Yaroshenko, who last year sought a reduced prison sentence because of Yaroshenko’s vulnerability to COVID-19, did not immediately return an email seeking comment Wednesday.
Russia had sought Yaroshenko’s return for years while also rejecting entreaties by high-level U.S. officials to release Reed, who was approaching his 1,000th day in custody and whose health had recently been worsening, according to his family.
A senior U.S. official, who was not authorized to discuss the matter by name and spoke to The Associated Press on the condition of anonymity, described Reed’s case as one of “utmost priority” for the Biden administration. His family said Reed’s poor health included symptoms of tuberculosis.
“It was a difficult decision but one that we thought was worth it,” the official said.
Though officials would not say where the transfer took place, in the hours before it happened commercial flight trackers identified a plane belonging to Russia’s federal security service as flying to Ankara, Turkey. The U.S. Bureau of Prisons also updated its website overnight to reflect that Yaroshenko was no longer in custody.
Reed was en route back to the U.S., traveling with Roger Cartsens, the U.S. government’s special presidential envoy for hostage affairs.
“Today, our prayers have been answered and Trevor is on his way back safely to the United States,” Reed’s family said in a statement.
The prisoner swap was the most prominent release during the Biden administration of an American deemed wrongly detained abroad and came even as families of detainees who have met over the last year with administration officials had described the officials as cool to the idea of an exchange.
The U.S. government does not typically embrace such exchanges for fear that it might encourage foreign governments to take additional Americans as prisoners as a way to extract concessions and to avoid a potential false equivalency between an unjustly detained American — which U.S. officials believe Reed was — and a properly convicted criminal.
In this case, though, the U.S. decided the deal made sense in part because Yaroshenko had already served a long portion of his prison sentence, which has now been commuted.
The Reed family thanked Biden “for making the decision to bring Trevor home” as well as other administration officials and Bill Richardson, the former U.S. ambassador to the United Nations, who the family said traveled to Moscow in the hours before the Ukraine war began in hopes of securing Reed’s release.
The Reed family had also been working with a consultant, Jonathan Franks, who has been involved in other high-profile releases, such as the case of Michael White, a Navy veteran freed from Iran in 2020.
Reed’s release had no immediate impact on the cases of other Americans held by Russia. Griner, for one, was detained in February after Russian authorities said a search of her bag revealed a cannabis derivative. Whelan is being held on espionage-related charges his family says are bogus.
U.S. officials have described Whelan as unjustly detained, and Biden said Wednesday “we won’t stop until Paul Whelan and others join Trevor in the loving arms of family and friends.”
Reed’s parents demonstrated outside the White House last month in hopes of getting a meeting with the president.
“We believe that that meeting with the president is what made it happen” Joey Reed told CNN. “Which is what we had said all along — if we could just speak to the president, he’s that kind of person.”
When he is reunited with his son, the father said, “I want to hug him and not let him go.”
Copyright 2022 The Associated Press. All rights reserved. | https://www.whsv.com/2022/04/27/official-prisoner-exchange-russia-releases-jailed-us-marine-veteran/ | 2022-04-27T20:50:23Z |
Police: Woman helped plan kidnapping of baby in California
SAN JOSE, Calif. (AP) — Police say a woman arrested in the kidnapping of a 3-month-old baby from his San Francisco Bay Area home is a friend of the family and was present when a man abducted the baby while his grandmother unloaded groceries.
San Jose Police Sgt. Christian Camarillo said Wednesday that Yesenia Ramirez had driven the child and his grandmother on a shopping trip and communicated with Jose Portillo before he entered the San Jose apartment and took the baby Monday.
He says surveillance video shows Portillo walking toward the apartment with a car seat and a small blanket.
The baby was found unharmed Tuesday inside a home where Portillo lived.
Camarillo says a motive is still under investigation.
Copyright 2022 The Associated Press. All rights reserved. | https://www.whsv.com/2022/04/27/police-woman-helped-plan-kidnapping-baby-california/ | 2022-04-27T20:50:30Z |
‘She looked worried’: Store clerk saves 85-year-old woman from phone scam, police say
DES MOINES, Iowa (KCCI) - A quick-thinking store clerk in Iowa saved an 85-year-old woman from an expensive phone scam.
Winterset Police Department Chief Ken Burk said the woman was a customer at a Dollar General Store. She came in Monday to buy a $500 gift card but she was on the phone during her visit and that seemed suspicious.
Turns out there was a scammer on the other end of the line.
“It was a typical scam that we hear too frequently,” Burk said. “They actually instructed her to not tell anyone, to not let them know she was on the phone.”
Store manager Allysa Taylor said the woman looked worried and she checked on her.
“I asked her if this was for somebody on the phone and she whispered yes. And I said do you know this person, and she said no, but I’m not supposed to tell you,” Taylor said.
Police said the woman had been on the phone with the scammer for two hours. He told her she needed to send him $500 to collect a $2.5 million prize.
Taylor got on the customer’s phone and he hung up.
Burk said he eventually called the crook himself and he answered.
“I told him, ‘You’re ripping off old people. Doesn’t that feel crappy?’” Burk said.
According to Burk, the scammer responded by saying the woman was going to die with her money and he needed the woman’s money to build a house and take care of his family.
“Incredible that they say something like that and can be so cold and callous to the people that are losing their hard-earned money,” Burk said.
The police chief praised Taylor for her quick thinking.
“She did a great thing. She is definitely a hero for us,” Burk said
Taylor said it was just part of the job.
“It finally came about that my training was necessary. And I’m grateful that I was able to help her,” Taylor said.
Police say the caller was likely overseas and to never give money to someone who wants you to pay to collect an alleged prize.
Copyright 2022 KCCI via CNN Newsource. All rights reserved. | https://www.whsv.com/2022/04/27/she-looked-worried-store-clerk-saves-85-year-old-woman-phone-scam-police-say/ | 2022-04-27T20:50:41Z |
Post-Floyd probe finds discrimination by Minneapolis police
ST. PAUL, Minn. (AP) — The Minneapolis Police Department has engaged in a pattern of race discrimination for at least a decade, including stopping and arresting Black people at a higher rate than white people, using force more often on people of color and maintaining a culture where racist language is tolerated, a state investigation launched after George Floyd’s killing found.
The report released Wednesday by the Minnesota Department of Human Rights following a nearly two-year investigation said the agency and the city would negotiate a court-enforceable agreement to address the long list of problems identified in the report, with input from residents, officers, city staff and others.
The report said police department data “demonstrates significant racial disparities with respect to officers’ use of force, traffic stops, searches, citations, and arrests.” And it said officers “used covert social media to surveil Black individuals and Black organizations, unrelated to criminal activity, and maintain an organizational culture where some officers and supervisors use racist, misogynistic, and disrespectful language with impunity.”
Human Rights Commissioner Rebecca Lucero said during a news conference after the report was released that it doesn’t single out any officers or city leaders.
“This investigation is not about one individual or one incident,” Lucero said.
Asked how long the agreement with the city, known as a consent decree, might have to remain in force, Lucero said, “As long as it takes to do it right.” Neither she nor the report laid out a timeline for the negotiations. Consent decrees in federal cases often remain in place for years.
The report said the city and police department “do not need to wait to institute immediate changes to begin to address the causes of discrimination that weaken the City’s public safety system and harm community members.” It listed several steps that the city can take now, including implementing stronger internal oversight to hold officers accountable for their conduct, better training, and better communication with the public about critical incidents such as officer-involved shootings.
National civil rights attorney Ben Crump and his partners, who won a $27 million settlement from the city for the Floyd family, called the report “historic” and “monumental in its importance.” They said they were “grateful and deeply hopeful” that change is imminent.
“We call on city, state, and Police leaders to accept the challenge of these findings and make meaningful change at last to create trust between communities of color in Minneapolis and those who are sworn to protect and serve them,” the lawyers said in a statement.
Messages to Mayor Jacob Frey and the police department seeking comment on the report weren’t immediately returned. Lucero said the city got its first look at the report Wednesday morning.
Michelle Gross, president of Communities United Against Police Brutality, called the finding “obvious.”
“The findings were no surprise, but now there’s an agency with the muscle to make those changes happen,” Gross said. She said a critical next step is who will monitor a consent decree to make sure changes actually happen, and said she would demand that community members take part. Gross said she was meeting Thursday with Lucero’s department and that monitoring a decree would top her agenda.
The Department of Human Rights launched its investigation barely a week after Floyd’s death on May 25, 2020. Then-Officer Derek Chauvin used his knee to pin the Black man to the pavement for 9 1/2 minutes in a case that sparked protests around the world against police racism and brutality. Chauvin, who is white, was convicted last spring of murder. Three other fired officers — Tou Thao, Thomas Lane and J. Alexander Kueng — were convicted this year of violating Floyd’s civil rights in a federal trial and they face a state trial starting in June.
State investigators reviewed a decade’s worth of information, including data on traffic stops, searches, arrests and uses of force, and examined policies and training. The review included around 700 hours of body camera video and nearly 480,000 pages of city and police department documents. Lucero said investigators interviewed officers throughout the department and “overwhelmingly, we found officers being very forthcoming.” The investigators also invited citizens to submit their own stories of encounters with Minneapolis police.
The Minnesota Department of Human Rights is the state’s civil rights enforcement agency. Its duties include enforcing the Minnesota Human Rights Act which, among other things, makes it illegal for a police department to discriminate against someone because of their race.
“Race-based policing is unlawful and especially harms people of color and Indigenous individuals — sometimes costing community members their lives,” the report said.
People of color or Indigenous individuals comprise about 42% of the city’s population, the report said, while about 19% of city residents are Black.
The police department has come under pressure from multiple directions since Floyd’s death. The U.S. Department of Justice is also investigating Minneapolis policing practices, though it is not thought to be close to a conclusion.
Several City Council members and residents have pushed to replace the department with a new public safety unit that they argue could take a more comprehensive public health approach to policing, including dropping a required minimum number of police officers. Voters rejected the idea last year.
Frey and Chief Medaria Arradondo, before his retirement in January, also made a range of changes in department policies and practices, including requiring officers to document their attempts to de-escalate situations, and no longer stopping motorists for minor traffic violations.
But community anger at police flared anew in February when police officers serving a no-knock warrant shot and killed Amir Locke, a 22-year-old Black man who was staying on a couch in his cousin’s apartment. Prosecutors declined to charge the officer who shot Locke, saying body camera video showed him pointing a gun at the officer, a claim his family disputed. The city has since banned no-knock warrants except in the most extreme circumstances, such as a hostage situation.
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Find AP’s full coverage of the death of George Floyd at: https://apnews.com/hub/death-of-george-floyd
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Ibrahim is a corps member for the Associated Press/Report for America Statehouse News Initiative. Report for America is a nonprofit national service program that places journalists in local newsrooms to report on undercovered issues.
Copyright 2022 The Associated Press. All rights reserved. | https://www.whsv.com/2022/04/27/state-wraps-probe-minneapolis-police-after-floyd-killing/ | 2022-04-27T20:50:49Z |
WATCH: Chair flies out of truck on highway, crashes into police cruiser
Published: Apr. 27, 2022 at 3:12 PM EDT|Updated: 1 hours ago
VERMONT (Gray News) – An unsecured chair flew out of the back of a pickup truck on the highway and smashed into a Vermont State Police cruiser.
Trooper Dylan LaMere’s dashcam video shows the chair fly toward the cruiser before slamming into the front windshield.
According to Vermont State Police, no one was hurt but the cruiser had a lot of damage.
Police say the driver of the pickup truck was given a ticket for having an unsecured load.
Copyright 2022 Gray Media Group, Inc. All rights reserved. | https://www.whsv.com/2022/04/27/watch-chair-flies-out-truck-highway-crashes-into-police-cruiser/ | 2022-04-27T20:50:56Z |
WATCH: Mountain lion scared off by automatic doors
Published: Apr. 27, 2022 at 4:27 PM EDT|Updated: 22 minutes ago
TUCSON, Ariz. (Gray News) – A mountain lion in Arizona was apparently not ready to indulge in the resort treatment.
The Arizona Game and Fish Department released a video of the mountain lion on social media walking outside of the Loews Ventana Canyon Resort in Tucson Monday. The animal quickly changes its mind when it passes by the automatic doors, which open and scare the feline, causing it to run away.
The department said the mountain lion was probably young and learning its way around the area due to the way it reacted to the doors.
The department said that, although mountain lions are common in the Sabino Canyon area, they have only received a few reports of incidents with them.
Copyright 2022 CNN Newsource. All rights reserved. | https://www.whsv.com/2022/04/27/watch-mountain-lion-scared-off-by-automatic-doors/ | 2022-04-27T20:51:06Z |
Accuray Also Announces Chief Financial Officer, Ali Pervaiz
SUNNYVALE, Calif., April 27, 2022 /PRNewswire/ -- Accuray Incorporated (NASDAQ: ARAY) announced today that Suzanne Winter, President, will succeed Joshua Levine as the company's Chief Executive Officer, effective July 1, 2022.
Mr. Levine will retire from the Accuray Board of Directors at the end of the company's fiscal year on June 30, 2022 and will remain available to the company in a consulting role through June 30, 2023 to ensure a smooth transition over the next year. Ms. Winter has been appointed as a director of the company and will join the Board effective April 27, 2022.
Ms. Winter joined Accuray as Senior Vice President, Chief Commercial Officer in October 2019 and has served as the company's President since July 2021. In this role she directs the Company's day-to-day operations, leads its global growth initiatives, and manages its innovation, regulatory and clinical efforts. During her tenure, Ms. Winter has implemented bold, forward-looking strategies including refocused investment in innovation and high impact product introductions delivering historic commercial results.
"Accuray has changed the way radiation therapy treatments are delivered. The unwavering commitment to ensuring that personalized precision treatments are available to anyone who has been diagnosed with cancer or neurological disorders is fundamental to who we are as a company," said Ms. Winter. "I want to thank the Board for their vote of confidence in selecting me as the company's next CEO. I am most excited about the opportunities ahead of us and the chance to lead our team of passionate professionals whose expertise and dedication to advancing patient care is key to our success. I look forward to building on the strong foundation built by Josh and leading the company into its next chapter, expanding on its legacy of innovation and creating value for all of our stakeholders."
"It has been a privilege over the past nine+ years to lead this organization that has made such a meaningful difference in the lives of cancer patients around the world," said Joshua Levine, Chief Executive Officer of Accuray. "We have made important improvements during my tenure with the company including strengthening our financial position, building the best product portfolio in the company's history, and establishing strategically impactful industrial relationships with premier collaboration partners. As a result of these important business development activities, I believe we are at an important inflection point to transition the company to its next leader. Suzanne has made a significant impact since joining Accuray and I am confident she will effectively lead Accuray on behalf of all of our stakeholders: our employees, our customers and their patients, and our shareholders."
"The leadership succession plan announced today is based on a thoughtful evaluation of the skills necessary to accelerate the organization's growth and build shareholder value. During her time at Accuray, Suzanne has demonstrated her ability to lead, transform and attain results, and the Board has full confidence in her and her ability to chart the next path forward for Accuray," said Joseph E. Whitters, Chairperson of Accuray's Board of Directors. "The Board would like to thank Josh for his commitment to the company as CEO. Josh has done an outstanding job in preparing the organization for future success, leading improvements in its financial position and development of a strategically focused product roadmap, and formation of important partnerships to leverage Accuray's competitive positioning. We are grateful for what he has achieved during his tenure and his continued leadership during the transition period."
Accuray also announced today that Ali Pervaiz has been appointed Senior Vice President and Chief Financial Officer (CFO), leading the global finance organization and overseeing all financial aspects of the company, effective May 9, 2022. Pervaiz has been with Accuray for two years and currently serves as the company's Vice President, Global Commercial Operations.
"Ali is a high-impact executive who, since joining Accuray, has led the transformation of our commercial operations and helped to drive revenue performance. Ali brings a 15- year career of financial leadership from GE Healthcare including an impressive blend of financial planning and analysis, well-honed operating skills and depth of experience in medical capital equipment commercial operations. His deep understanding of our business combined with a proven track record of delivering results and creating value makes him an outstanding candidate as our next CFO. Ali will be an invaluable partner to the business and allow us to continue to move the company forward executing on our revenue growth agenda and margin expansion plans," stated Suzanne Winter.
Ms. Winter added, "We would also like to thank Brandy Green, Controller and interim CFO, for her dedication to the company over this last year. She deserves the highest level of recognition for what she has accomplished in the role."
More About Suzanne Winter
Ms. Winter's expertise includes senior executive roles spanning general management, commercial operations, and strategic business development across a range of healthcare industry segments, including diagnostic imaging, cardiovascular, neurology, women's health and surgery. Prior to joining Accuray, she served as group vice president – Americas region at Medtronic Diabetes, where she led the $1.4 billion diabetes business. Previously, Ms. Winter was the general manager of GE Healthcare's $500M Detection and Guidance Solutions as well as Commercial leadership of the Ultrasound business unit at Toshiba America Medical Systems. Ms Winter received an M.B.A. from Harvard Business School and has a B.S. in Chemistry from Saint Lawrence University.
More About Ali Pervaiz
Prior to joining Accuray, Mr. Pervaiz was with GE Healthcare for over 15 years in senior financial leadership roles. He began his finance career in GE's prestigious Corporate Audit Staff program, a rigorous multi-year rotation through different divisions used to groom future leaders before assuming increasing levels of responsibility within the Finance organization. Mr. Pervaiz previously held the roles of Chief Financial Officer for two GE Healthcare business units including the $1.3B US Imaging Equipment and $650M US Life Support Solutions business. Mr. Pervaiz received an M.B.A. from the University of Chicago Booth School of Business with a focus on finance & operations, a M.S. in healthcare technologies management from the Medical College of Wisconsin and a B.S. from Marquette University. He will be based in Accuray Incorporated's Madison, Wisconsin location.
About Accuray
Accuray is committed to expanding the powerful potential of radiation therapy to improve as many lives as possible. We invent unique, market-changing solutions that are designed to deliver radiation treatments for even the most complex cases—while making commonly treatable cases even easier—to meet the full spectrum of patient needs. We are dedicated to continuous innovation in radiation therapy for oncology, neuro-radiosurgery, and beyond, as we partner with clinicians and administrators, empowering them to help patients get back to their lives, faster. Accuray is headquartered in Sunnyvale, California, with facilities worldwide. To learn more, visit www.accuray.com or follow us on Facebook, LinkedIn, Twitter, and YouTube.
Safe Harbor Statement
Statements made in this press release that are not statements of historical fact are forward-looking statements and are subject to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements in this press release relate, but are not limited, expectations related to value creation, revenue growth, and margin expansion and expectations regarding the transition of leadership, including related to the company's plans, goals and objectives. If any of these risks or uncertainties materialize, or if any of the company's assumptions prove incorrect, actual results could differ materially from the results expressed or implied by these forward-looking statements. These risks and uncertainties include, but are not limited to, the effect of the COVID-19 pandemic on the operations of the company and those of its customers and suppliers; disruptions to our supply chain, including increased logistics costs; the company's ability to achieve widespread market acceptance of its products, including new product and software offerings; the company's ability to develop new products or enhance existing products to meet customers' needs and compete favorably in the market, the company's ability to realize the expected benefits of the China joint venture and other partnerships; risks inherent in international operations; the company's ability to effectively manage its growth; the company's ability to maintain or increase its gross margins on product sales and services; delays in regulatory approvals or the development or release of new offerings; the company's ability to meet the covenants under its credit facilities; the company's ability to convert backlog to revenue; and such other risks identified under the heading "Risk Factors" in the company's Quarterly Report on Form 10-Q, filed with the Securities and Exchange Commission (the "SEC") on January 28, 2022 and as updated periodically with the company's other filings with the SEC.
Forward-looking statements speak only as of the date the statements are made and are based on information available to the company at the time those statements are made and/or management's good faith belief as of that time with respect to future events. The company assumes no obligation to update forward-looking statements to reflect actual performance or results, changes in assumptions or changes in other factors affecting forward-looking information, except to the extent required by applicable securities laws. Accordingly, investors should not put undue reliance on any forward-looking statements.
Media Contact
Beth Kaplan
Accuray
+1 (408) 789-4426
bkaplan@accuray.com
Investor Contact
Aman Patel, CFA
Investor Relations, ICR-Westwicke
+1 (443) 450-4191
aman.patel@westwicke.com
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SOURCE Accuray Incorporated | https://www.whsv.com/prnewswire/2022/04/27/accuray-announces-suzanne-winter-president-promoted-president-ceo-joshua-levine-will-retire-ceo-board-member/ | 2022-04-27T20:51:14Z |
SUNNYVALE, Calif., April 27, 2022 /PRNewswire/ -- Accuray Incorporated (NASDAQ: ARAY) today reported financial results for the third quarter of fiscal 2022 ended March 31, 2022.
Third Quarter Fiscal 2022 Summary
- Gross orders of $88.6 million, an increase of 1 percent compared to the prior year
- Net revenue of $96.2 million representing a decrease of 6 percent compared to the prior year
- GAAP net loss of $1.0 million as compared to GAAP net loss of $0.4 million in the prior year. Adjusted EBITDA of $5.4 million as compared to adjusted EBITDA of $8.7 million in the prior year
Other Recent Operational Highlights
- Demand continues for ClearRT™ Helical kVCT Imaging for the Radixact® System and VOLO™ Ultra enhancement to the Accuray Precision® treatment planning system for the Radixact System and CyberKnife® S7™ platform
- Data from a phase III trial indicates that Accuray TomoTherapy® Helical Radiotherapy System can help preserve breast cancer patients' long-term heart and lung functionality
- Introduction of CyberKnife Neuro package with Brainlab Elements software at the Radiosurgery Society was completed
- 10-year data shows Accuray CyberKnife System can provide long-lasting relief of the excruciating pain caused by trigeminal neuralgia
"Accuray's fiscal 2022 third quarter performance continues to reflect the strong customer demand and revenue momentum our business is generating, but also highlighted the continuation of supply chain challenges and operational headwinds created by the Covid environment. Driving our accelerated revenue growth is the continued adoption of our new technology upgrades on the Radixact platform and the increasing demand for the CyberKnife S7 platform which are having an impact across all regions," said Joshua Levine, Chief Executive Officer.
Fiscal Third Quarter Results
Total net revenue was $96.2 million for the third quarter of fiscal 2022 compared to $102.6 million for the prior fiscal year third quarter. Product revenue totaled $43.2 million for the third quarter of fiscal 2022 compared to $47.4 million for the prior fiscal year third quarter, while service revenue totaled $53.0 million for the third quarter of fiscal 2022 compared to $55.1 million for the prior fiscal year third quarter.
Total gross profit for the third quarter of fiscal 2022 was $34.8 million or approximately 36.2 percent of total net revenue, comprised of product gross margin of 34.3 percent of product net revenue and service gross margin of 37.7 percent of service net revenue. This compares to total gross profit of $39.5 million or 38.5 percent of total net revenue, comprised of product gross margin of 41.6 percent of product net revenue and service gross margin of 35.9 percent of service net revenue for the prior fiscal year third quarter.
Operating expenses for the third quarter of fiscal 2022 were $35.1 million, which was flat as compared to $35.1 million in the prior fiscal year third quarter.
Net loss was $1.0 million, or $0.01 per share, for the third quarter of fiscal 2022, compared to net loss of $0.4 million, or $0 per share, for the prior fiscal year third quarter.
Gross product orders totaled $88.6 million for the third quarter of fiscal 2022 compared to $87.4 million for the prior fiscal year third quarter. Order backlog as of March 31, 2022 was $580.4 million, approximately 5 percent lower than at the end of the prior fiscal year third quarter.
Adjusted EBITDA for the third quarter of fiscal 2022 was $5.4 million, compared to $8.7 million for the prior fiscal year third quarter.
Cash, cash equivalents, and short-term restricted cash were $98.0 million as of March 31, 2022 compared with $123.4 million as of December 31, 2021.
Fiscal Nine Months Results
Total net revenue for the nine months ended March 31, 2022 was $319.9 million compared to $285.4 million in the same prior fiscal year period, a 12 percent increase. Product revenue for the nine months ended Mach 31, 2022 totaled $156.7 million compared to $120.5 million, an increase of 30 percent, while service revenue totaled $163.2 million compared to $164.9 million in the same prior fiscal year period, a decrease of 1 percent.
Total gross profit for the nine months ended March 31, 2022 was $116.9 million, or 36.6 percent of net revenue, comprised of product gross margin of 39.1 percent of product revenue and service gross margin of 34.1 percent of service revenue. This compares to total gross profit of $115.8 million, or 40.6 percent of net revenue, comprised of product gross margin of 42.6 percent of product revenue and service gross margin of 39.1 percent of service revenue in the same prior fiscal year period.
Operating expenses for the nine months ended March 31, 2022 were $110.8 million, an increase of 13 percent compared with $97.7 million in the same prior fiscal year period.
Net loss was $1.9 million, or $0.02 of loss per share, for the nine months ended March 31, 2022, compared to net income of $4.8 million, or $0.05 per share, in the same prior fiscal year period.
Gross product orders totaled $243.9 million for the nine months ended March 31, 2022, compared to $213.3 million for the same prior fiscal year period, an increase of 14 percent. Order backlog as of March 31, 2022 was $580.4 million, approximately 5 percent lower than at the end of the prior fiscal year third quarter.
Adjusted EBITDA for the nine months ended March 31, 2022 was $17.7 million, compared to $31.3 million in the prior fiscal year period.
Fiscal Year 2022 Financial Guidance
Accuray's financial guidance is based on current expectations. The following statements are forward-looking and actual results could differ materially depending on market conditions, the impact of the Covid-19 pandemic, supply chain disruption, and the factors set forth under "Safe Harbor Statement" below.
The Company is re-affirming guidance for fiscal year 2022 as follows:
- Total revenue is expected in the range of $420.0 million to $430.0 million, representing a year-over-year growth at the midpoint of the range of 7%.
- Adjusted EBITDA is expected in the range of $15.0 million to $20.0 million.
Guidance for non-GAAP financial measures excludes depreciation and amortization, stock-based compensation expense, interest expense and provision for income taxes. For more information regarding the non-GAAP financial measures discussed in this press release, please see "Use of Non-GAAP Financial Measures" below.
Conference Call Information
Accuray will host a conference call beginning at 1:30 p.m. PT/4:30 p.m. ET today to discuss results for the third quarter of fiscal 2022 as well as recent corporate developments. Conference call dial-in information is as follows:
- U.S. callers: (833) 316-0563
- International callers: (412) 317-5747
Individuals interested in listening to the live conference call via the Internet may do so by logging on to the Investor Relations section of Accuray's website, www.accuray.com. There will be a slide presentation accompanying today's event which can also be accessed on the company's Investor Relations page at www.accuray.com.
In addition, a taped replay of the conference call will be available beginning approximately one hour after the call's conclusion and will be available for seven days. The replay number is (877) 344-7529 (USA), or (412) 317-0088 (International), Conference ID: 6435845. An archived webcast will also be available on Accuray's website until Accuray announces its results for the fourth quarter of fiscal 2022.
Use of Non-GAAP Financial Measures
Accuray has supplemented its GAAP net income (loss) with a non-GAAP measure of adjusted earnings before interest, taxes, depreciation, amortization and stock-based compensation ("adjusted EBITDA"). The calculation of adjusted EBITDA also excludes certain non-recurring, irregular and one-time items. Management believes that this non-GAAP financial measure provides useful supplemental information to management and investors regarding the performance of the company and facilitates a meaningful comparison of results for current periods with previous operating results. A reconciliation of GAAP net income (loss) (the most directly comparable GAAP measure) to non-GAAP adjusted EBITDA is provided in the schedules below.
There are limitations in using these non-GAAP financial measures because they are not prepared in accordance with GAAP and may be different from non-GAAP financial measures used by other companies. These non-GAAP financial measures should not be considered in isolation or as a substitute for GAAP financial measures. Investors and potential investors should consider non-GAAP financial measures only in conjunction with the company's consolidated financial statements prepared in accordance with GAAP.
About Accuray
Accuray Incorporated (Nasdaq: ARAY) is committed to expanding the powerful potential of radiation therapy to improve as many lives as possible. We invent unique, market-changing solutions that are designed to deliver radiation treatments for even the most complex cases—while making commonly treatable cases even easier—to meet the full spectrum of patient needs. We are dedicated to continuous innovation in radiation therapy for oncology, neuro-radiosurgery, and beyond, as we partner with clinicians and administrators, empowering them to help patients get back to their lives, faster. Accuray is headquartered in Sunnyvale, California, with facilities worldwide.
Safe Harbor Statement
Statements made in this press release that are not statements of historical fact are forward-looking statements and are subject to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements in this press release relate, but are not limited, to the company's future results of operations, including expectations regarding total revenue and adjusted EBITDA; expectations regarding the effect of the COVID-19 pandemic on the company; expectations regarding supply chain and logistics challenges; expectations regarding the company's commercial strategy and execution as well as long-term growth opportunities; expectations regarding the company's order growth; the company's ability to continue to drive long-term sustainable revenue growth, grow its top line, expand margins and create value for shareholders; expectations regarding the company's China joint venture and other partnerships; expectations regarding the company's strategic initiatives, product innovations and developments; expectations regarding the company's product portfolio and its ability to position the company for growth; the impact of the company's products on its customers and its business, and market adoption of such products and other strategic product innovations; expectations regarding the future of radiotherapy treatment and the company's addressable market; and the company's leadership position in radiation oncology innovation and technologies. These forward-looking statements involve risks and uncertainties. If any of these risk or uncertainties materialize, or if any of the company's assumptions prove incorrect, actual results could differ materially from the results express or implied by these forward-looking statements. These risks and uncertainties include, but are not limited to, the effect of the COVID-19 pandemic on the operations of the company and those of its customers and suppliers; disruptions to our supply chain, including increased logistics costs; the company's ability to achieve widespread market acceptance of its products, including new product and software offerings; the company's ability to develop new products or enhance existing products to meet customers' needs and compete favorably in the market, the company's ability to realize the expected benefits of the China joint venture and other partnerships; risks inherent in international operations; the company's ability to effectively manage its growth; the company's ability to maintain or increase its gross margins on product sales and services; delays in regulatory approvals or the development or release of new offerings; the company's ability to meet the covenants under its credit facilities; the company's ability to convert backlog to revenue; and such other risks identified under the heading "Risk Factors" in the company's Quarterly Report on Form 10-Q, filed with the Securities and Exchange Commission (the "SEC") on January 28, 2022 and as updated periodically with the company's other filings with the SEC.
Forward-looking statements speak only as of the date the statements are made and are based on information available to the company at the time those statements are made and/or management's good faith belief as of that time with respect to future events. The company assumes no obligation to update forward-looking statements to reflect actual performance or results, changes in assumptions or changes in other factors affecting forward-looking information, except to the extent required by applicable securities laws. Accordingly, investors should not put undue reliance on any forward-looking statements.
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Financial Tables to Follow
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SOURCE Accuray Incorporated | https://www.whsv.com/prnewswire/2022/04/27/accuray-reports-fiscal-2022-third-quarter-financial-results/ | 2022-04-27T20:51:25Z |
COLUMBUS, Ga., April 27, 2022 /PRNewswire/ -- Aflac Incorporated (NYSE: AFL) today reported its first quarter results.
Total revenues were $5.3 billion in the first quarter of 2022, compared with $5.9 billion in the first quarter of 2021. Net earnings were $1.0 billion, or $1.58 per diluted share, compared with $1.3 billion, or $1.87 per diluted share a year ago.
Net earnings in the first quarter of 2022 included net investment gains of $122 million, or $0.19 per diluted share, compared with net investment gains of $307 million, or $0.44 per diluted share a year ago. The net investment gains were driven by net gains from certain derivatives and foreign currency activities of $167 million, net gains from sales and redemptions of $86 million, and a decrease in the allowance associated with the company's estimate of current expected credit losses (CECL) of $25 million offset by a decrease of $156 million in the fair value of equity securities.
Adjusted earnings* in the first quarter were $927 million, compared with $1.1 billion in the first quarter of 2021, reflecting a decrease of 12.4%. Adjusted earnings per diluted share* decreased 7.2% to $1.42 in the quarter. It included variable investment income from alternative investments, which was $0.04 per share above return expectations, and a gain of $0.01 per share related to the sale of a parcel of non-core real estate. Adjusted earnings per diluted share excluded adjusted net investment gains* of $0.21 per share. The weaker yen/dollar exchange rate impacted adjusted earnings per share by $0.06.
The average yen/dollar exchange rate in the first quarter of 2022 was 116.18, or 8.9% weaker than the average rate of 105.88 in the first quarter of 2021.
Total investments and cash at the end of March 2022 were $132.6 billion, compared with $143.3 billion at March 31, 2021. In the first quarter, Aflac Incorporated deployed $500 million in capital to repurchase 8.0 million of its common shares. At the end of March 2022, the company had 47.8 million remaining shares authorized for repurchase.
Shareholders' equity was $29.5 billion, or $45.75 per share, at March 31, 2022, compared with $32.1 billion, or $47.16 per share, at March 31, 2021. Shareholders' equity at the end of the first quarter included a net unrealized gain on investment securities and derivatives of $5.8 billion, compared with a net unrealized gain of $8.8 billion at March 31, 2021. Shareholders' equity at the end of the first quarter also included an unrealized foreign currency translation loss of $2.5 billion, compared with an unrealized foreign currency translation loss of $1.7 billion at March 31, 2021. The annualized return on average shareholders' equity in the first quarter was 13.2%.
Shareholders' equity excluding AOCI (or adjusted book value*) was $26.4 billion, or $40.93 per share at March 31, 2022, compared with $25.3 billion, or $37.16 per share, at March 31, 2021. The annualized adjusted return on equity excluding foreign currency impact* in the first quarter was 14.7%.
AFLAC JAPAN
In yen terms, Aflac Japan's net earned premiums were ¥316.4 billion for the quarter, or 4.3% lower than a year ago, mainly due to limited pay products reaching paid-up status and constrained sales from the impact of pandemic conditions. Adjusted net investment income increased 5.9% to ¥79.0 billion, mainly due to higher alternative and floating rate income as well as the impact of a weaker yen on the dollar-denominated investment income. Total adjusted revenues in yen declined 2.5% to ¥396.5 billion. Pretax adjusted earnings in yen for the quarter increased 6.8% on a reported basis to ¥100.2 billion, due to continued favorable claim trends and higher net investment income. Pretax adjusted earnings increased 2.5% on a currency-neutral basis. The pretax adjusted profit margin for the Japan segment was 25.3%, compared with 23.1% a year ago. The increase in the profit margin is largely due to continued lower incurred benefits and higher adjusted net investment income.
In dollar terms, net earned premiums decreased 12.8% to $2.7 billion in the first quarter. Adjusted net investment income decreased 3.5% to $680 million. Total adjusted revenues declined by 11.1% to $3.4 billion. Pretax adjusted earnings declined 2.8% to $862 million.
For the quarter, total new annualized premium sales (sales) decreased 14.8% to ¥11.9 billion, or $103 million, reflecting comparisons to the first quarter 2021 launch of a new medical product as well as on going pandemic conditions.
AFLAC U.S.
Aflac U.S. net earned premiums declined 0.6% to $1.4 billion in the first quarter, impacted by lower persistency. In terms of revenue, this was more than offset by a $12 million increase in fee income and an $8 million increase in adjusted net investment income. As a result, total adjusted revenues were up 0.7% to $1.6 billion. Pretax adjusted earnings were $325 million, 27.0% lower than a year ago, which was driven by higher incurred benefits as benefits approach pre-pandemic levels, and elevated adjusted expenses. The pretax adjusted profit margin for the U.S. segment was 19.8%, compared with 27.3% a year ago.
Aflac U.S. sales increased 19.0% in the quarter to $299 million, reflecting continued improvement in pandemic conditions and investment in growth initiatives.
CORPORATE AND OTHER
For the quarter, total adjusted revenues decreased 10.8% to $74 million, due to an $18 million decline in adjusted net investment income. This was primarily due to the impact of federal tax credit investments, as tax benefits are recognized in a corresponding lower income tax expense. Amortized hedge income was lower as a result of changing market conditions, partially offset by an increase in other income due to the receipt of interest on a tax refund and a gain on the sale of a parcel of non-core real estate. Pretax adjusted earnings were a loss of $44 million, compared with a loss of $26 million a year ago, primarily reflecting lower adjusted revenues and increases in other adjusted expenses.
DIVIDEND
The board of directors declared the second quarter dividend of $0.40 per share, payable on June 1, 2022 to shareholders of record at the close of business on May 18, 2022.
OUTLOOK
Commenting on the company's results, Chairman and Chief Executive Officer Daniel P. Amos stated: "The company generated solid earnings for the first quarter, supported in part by the continuation of low benefit ratios associated with pandemic conditions and better-than-expected returns from alternative investments, despite the weakening yen. We continue to remain cautiously optimistic as we continue to navigate the pandemic.
"Looking at our operations in Japan, persistency remained strong in the first quarter, but sales were constrained as we continued to operate in the wake of evolving pandemic conditions, including various states of emergency that were in effect through mid-March. These impacted our ability to meet face-to-face with customers, which continues to be key to a recovery in sales. Recognizing pandemic conditions in Japan, we expect stronger sales in the second half of the year assuming that those conditions subside, productivity continues to improve at Japan Post, and we execute on our product introduction and refreshment plans.
"In the U.S., I am pleased with the 19% sales increase for the quarter, which reflects continued momentum in our core voluntary business; increased contribution from newly acquired growth platforms of dental, vision, and group benefits; and general recovery in pandemic conditions. We continue to work toward reinforcing our position and generating stronger sales for the year, while we keep an eye on potential headwinds.
"As always, we are committed to prudent liquidity and capital management. We continue to maintain strong capital ratios on behalf of our policyholders in both the U.S. and Japan. We value our record of dividend growth. Coming off our 39th consecutive year of dividend increases, I am pleased with the board's decision to increase the first quarter dividend by 21.2%, as we announced last year. Our dividend track record is supported by the strength of our capital and cash flows. At the same time, we remain in the market repurchasing shares with a tactical approach, focused on integrating the growth investments we have made in our platform. By doing so, we look to emerge from this period in a continued position of strength and leadership."
*See Non-U.S. GAAP Financial Measures section for an explanation of foreign exchange and its impact on the financial statements and definitions of the non-U.S. GAAP financial measures used in this earnings release, as well as a reconciliation of such non-U.S. GAAP financial measures to the most comparable U.S. GAAP financial measures.
ABOUT AFLAC INCORPORATED
Aflac Incorporated (NYSE: AFL) is a Fortune 500 company helping provide protection to more than 50 million people through its subsidiaries in Japan and the U.S., where it is a leading supplemental insurer by paying cash fast when policyholders get sick or injured. For more than six decades, insurance policies of Aflac Incorporated's subsidiaries have given policyholders the opportunity to focus on recovery, not financial stress. Aflac Life Insurance Japan is the leading provider of medical and cancer insurance in Japan where it insures 1 in 4 households. In 2021, the company was included in the Dow Jones Sustainability North America Index and became a signatory of the Principles for Responsible Investment (PRI). In 2022, Aflac Incorporated was included on Ethisphere's list of the World's Most Ethical Companies for the 16th consecutive year, Fortune's list of World's Most Admired Companies for the 21st time and Bloomberg's Gender-Equality Index for the third consecutive year. To find out how to get help with expenses health insurance doesn't cover, get to know us at aflac.com or aflac.com/español. Investors may learn more about Aflac Incorporated and its commitment to ESG and social responsibility at investors.aflac.com under "Sustainability."
A copy of Aflac's Financial Analysts Briefing (FAB) supplement for the quarter can be found on the "Investors" page at aflac.com.
Aflac Incorporated will webcast its quarterly conference call via the "Investors" page of aflac.com at 8:00 a.m. (ET) on Thursday, April 28, 2022.
Note: Tables within this document may not foot due to rounding.
NON-U.S. GAAP FINANCIAL MEASURES
This document includes references to the Company's financial performance measures which are not calculated in accordance with United States generally accepted accounting principles (U.S. GAAP) (non-U.S. GAAP). The financial measures exclude items that the Company believes may obscure the underlying fundamentals and trends in insurance operations because they tend to be driven by general economic conditions and events or related to infrequent activities not directly associated with insurance operations.
Due to the size of Aflac Japan, where the functional currency is the Japanese yen, fluctuations in the yen/dollar exchange rate can have a significant effect on reported results. In periods when the yen weakens, translating yen into dollars results in fewer dollars being reported. When the yen strengthens, translating yen into dollars results in more dollars being reported. Consequently, yen weakening has the effect of suppressing current period results in relation to the comparable prior period, while yen strengthening has the effect of magnifying current period results in relation to the comparable prior period. A significant portion of the Company's business is conducted in yen and never converted into dollars but translated into dollars for U.S. GAAP reporting purposes, which results in foreign currency impact to earnings, cash flows and book value on a U.S. GAAP basis. Management evaluates the Company's financial performance both including and excluding the impact of foreign currency translation to monitor, respectively, cumulative currency impacts and the currency-neutral operating performance over time. The average yen/dollar exchange rate is based on the published MUFG Bank, Ltd. telegraphic transfer middle rate (TTM).
The company defines the non-U.S. GAAP financial measures included in this earnings release as follows:
- Adjusted earnings are adjusted revenues less benefits and adjusted expenses. Adjusted earnings per share (basic or diluted) are the adjusted earnings for the period divided by the weighted average outstanding shares (basic or diluted) for the period presented. The adjustments to both revenues and expenses account for certain items that cannot be predicted or that are outside management's control. Adjusted revenues are U.S. GAAP total revenues excluding adjusted net investment gains and losses. Adjusted expenses are U.S. GAAP total acquisition and operating expenses including the impact of interest cash flows from derivatives associated with notes payable but excluding any nonrecurring or other items not associated with the normal course of the Company's insurance operations and that do not reflect the Company's underlying business performance. Management uses adjusted earnings and adjusted earnings per diluted share to evaluate the financial performance of the Company's insurance operations on a consolidated basis and believes that a presentation of these financial measures is vitally important to an understanding of the underlying profitability drivers and trends of the Company's insurance business. The most comparable U.S. GAAP financial measures for adjusted earnings and adjusted earnings per share (basic or diluted) are net earnings and net earnings per share, respectively.
- Adjusted earnings excluding current period foreign currency impact are computed using the average foreign currency exchange rate for the comparable prior-year period, which eliminates fluctuations driven solely by foreign currency exchange rate changes. Adjusted earnings per diluted share excluding current period foreign currency impact is adjusted earnings excluding current period foreign currency impact divided by the weighted average outstanding diluted shares for the period presented. The Company considers adjusted earnings excluding current period foreign currency impact and adjusted earnings per diluted share excluding current period foreign currency impact important because a significant portion of the Company's business is conducted in Japan and foreign exchange rates are outside management's control; therefore, the Company believes it is important to understand the impact of translating foreign currency (primarily Japanese yen) into U.S. dollars. The most comparable U.S. GAAP financial measures for adjusted earnings excluding current period foreign currency impact and adjusted earnings per diluted share excluding current period foreign currency impact are net earnings and net earnings per share, respectively.
- Adjusted return on equity is adjusted earnings divided by average shareholders' equity, excluding accumulated other comprehensive income (AOCI). Management uses adjusted return on equity to evaluate the financial performance of the Company's insurance operations on a consolidated basis and believes that a presentation of this financial measure is vitally important to an understanding of the underlying profitability drivers and trends of the Company's insurance business. The Company considers adjusted return on equity important as it excludes components of AOCI, which fluctuate due to market movements that are outside management's control. The most comparable U.S. GAAP financial measure for adjusted return on equity is return on average equity (ROE) as determined using net earnings and average total shareholders' equity.
- Adjusted return on equity excluding foreign currency impact is adjusted earnings excluding the current period foreign currency impact divided by average shareholders' equity, excluding AOCI. The Company considers adjusted return on equity excluding foreign currency impact important as it excludes changes in foreign currency and components of AOCI, which fluctuate due to market movements that are outside management's control. The most comparable U.S. GAAP financial measure for adjusted return on equity excluding foreign currency impact is ROE as determined using net earnings and average total shareholders' equity.
- Amortized hedge costs/income represent costs/income incurred or recognized as a result of using foreign currency derivatives to hedge certain foreign exchange risks in the Company's Japan segment or in Corporate and other. These amortized hedge costs/ income are estimated at the inception of the derivatives based on the specific terms of each contract and are recognized on a straight-line basis over the term of the hedge. The Company believes that amortized hedge costs/income measure the periodic currency risk management costs/income related to hedging certain foreign currency exchange risks and are an important component of net investment income. There is no comparable U.S. GAAP financial measure for amortized hedge costs/ income.
- Adjusted book value is the U.S. GAAP book value (representing total shareholders' equity), less AOCI as recorded on the U.S. GAAP balance sheet. Adjusted book value per common share is adjusted book value at the period end divided by the ending outstanding common shares for the period presented. The Company considers adjusted book value and adjusted book value per common share important as they exclude AOCI, which fluctuates due to market movements that are outside management's control. The most comparable U.S. GAAP financial measures for adjusted book value and adjusted book value per common share are total book value and total book value per common share, respectively.
- Adjusted book value including unrealized foreign currency translation gains and losses is adjusted book value plus unrealized foreign currency translation gains and losses. Adjusted book value including unrealized foreign currency translation gains and losses per common share is adjusted book value plus unrealized foreign currency translation gains and losses at the period end divided by the ending outstanding common shares for the period presented. The Company considers adjusted book value including unrealized foreign currency translation gains and losses, and its related per share financial measure, important as they exclude certain components of AOCI, which fluctuate due to market movements that are outside management's control; however, it includes the impact of foreign currency as a result of the significance of Aflac's Japan operation. The most comparable U.S. GAAP financial measures for adjusted book value including unrealized foreign currency translation gains and losses and adjusted book value including unrealized foreign currency translation gains and losses per common share are total book value and total book value per common share, respectively.
- Adjusted net investment income is net investment income adjusted for i) amortized hedge cost/income related to foreign currency exposure management strategies and certain derivative activity, and ii) net interest cash flows from foreign currency and interest rate derivatives associated with certain investment strategies, which are reclassified from net investment gains and losses to net investment income. The Company considers adjusted net investment income important because it provides a more comprehensive understanding of the costs and income associated with the Company's investments and related hedging strategies. The most comparable U.S. GAAP financial measure for adjusted net investment income is net investment income.
- Adjusted net investment gains and losses are net investment gains and losses adjusted for i) amortized hedge cost/income related to foreign currency exposure management strategies and certain derivative activity, ii) net interest cash flows from foreign currency and interest rate derivatives associated with certain investment strategies, which are both reclassified to net investment income, and iii) the impact of interest cash flows from derivatives associated with notes payable, which is reclassified to interest expense as a component of total adjusted expenses. The Company considers adjusted net investment gains and losses important as it represents the remainder amount that is considered outside management's control, while excluding the components that are within management's control and are accordingly reclassified to net investment income and interest expense. The most comparable U.S. GAAP financial measure for adjusted net investment gains and losses is net investment gains and losses.
FORWARD-LOOKING INFORMATION
The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" to encourage companies to provide prospective information, so long as those informational statements are identified as forward-looking and are accompanied by meaningful cautionary statements identifying important factors that could cause actual results to differ materially from those included in the forward-looking statements. The company desires to take advantage of these provisions. This document contains cautionary statements identifying important factors that could cause actual results to differ materially from those projected herein, and in any other statements made by company officials in communications with the financial community and contained in documents filed with the Securities and Exchange Commission (SEC). Forward-looking statements are not based on historical information and relate to future operations, strategies, financial results or other developments. Furthermore, forward-looking information is subject to numerous assumptions, risks and uncertainties. In particular, statements containing words such as "expect," "anticipate," "believe," "goal," "objective," "may," "should," "estimate," "intends," "projects," "will," "assumes," "potential," "target," "outlook" or similar words as well as specific projections of future results, generally qualify as forward-looking. Aflac undertakes no obligation to update such forward-looking statements.
The company cautions readers that the following factors, in addition to other factors mentioned from time to time, could cause actual results to differ materially from those contemplated by the forward-looking statements:
- difficult conditions in global capital markets and the economy, including those caused by COVID-19
- defaults and credit downgrades of investments
- exposure to significant interest rate risk
- concentration of business in Japan
- limited availability of acceptable yen-denominated investments
- foreign currency fluctuations in the yen/dollar exchange rate
- differing judgments applied to investment valuations
- significant valuation judgments in determination of expected credit losses recorded on the Company's investments
- decreases in the Company's financial strength or debt ratings
- decline in creditworthiness of other financial institutions
- concentration of the Company's investments in any particular single-issuer or sector
- the effects of COVID-19 and its variants (both known and emerging), and any resulting economic effects and government interventions, on the Company's business and financial results
- the Company's ability to attract and retain qualified sales associates, brokers, employees, and distribution partners
- deviations in actual experience from pricing and reserving assumptions
- ability to continue to develop and implement improvements in information technology systems
- interruption in telecommunication, information technology and other operational systems, or a failure to maintain the security, confidentiality or privacy of sensitive data residing on such systems
- subsidiaries' ability to pay dividends to the Parent Company
- inherent limitations to risk management policies and procedures
- the operational risks of third party vendors
- tax rates applicable to the Company may change
- failure to comply with restrictions on policyholder privacy and information security
- extensive regulation and changes in law or regulation by governmental authorities
- competitive environment and ability to anticipate and respond to market trends
- catastrophic events, including, but not limited to, as a result of climate change, epidemics, pandemics (such as the coronavirus COVID-19), tornadoes, hurricanes, earthquakes, tsunamis, war or other military action, terrorism or other acts of violence, and damage incidental to such events
- ability to protect the Aflac brand and the Company's reputation
- ability to effectively manage key executive succession
- changes in accounting standards
- level and outcome of litigation
- allegations or determinations of worker misclassification in the United States
Analyst and investor contact - David A. Young, 706.596.3264 or 800.235.2667 or dyoung@aflac.com
Media contact - Ines Gutzmer, 762.207.7601 or igutzmer@aflac.com
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SOURCE Aflac Incorporated | https://www.whsv.com/prnewswire/2022/04/27/aflac-incorporated-announces-first-quarter-results-reports-first-quarter-net-earnings-10-billion-declares-second-quarter-cash-dividend/ | 2022-04-27T20:51:33Z |
THOUSAND OAKS, Calif., April 27, 2022 /PRNewswire/ -- Amgen (NASDAQ: AMGN) today announced financial results for the first quarter of 2022. Key results include:
- Total revenues increased 6% to $6.2 billion in comparison to the first quarter of 2021, resulting from 2% growth in global product sales and increased Other Revenue from our COVID-19 manufacturing collaboration.
- GAAP earnings per share (EPS) decreased 5% to $2.68 driven by a decrease in other (expense) income, net, partially offset by increased revenues and lower weighted-average shares outstanding. The decrease in other (expense) income, net, was primarily driven by net losses recognized on our strategic equity investments in the current year compared with net gains recognized in the prior year.
- Non-GAAP EPS increased 15% to $4.25, driven by increased revenues and lower weighted-average shares outstanding.
- The Company generated $2.0 billion of free cash flow for the first quarter versus $1.9 billion in the first quarter of 2021.
- 2022 total revenues guidance reaffirmed at $25.4-$26.5 billion; EPS guidance revised to $12.53-$13.58 on a GAAP basis, and reaffirmed at $17.00-$18.00 on a non-GAAP basis.
- Amgen will vigorously contest the adjustments and penalties proposed by the Internal Revenue Service (IRS) for the 2010-15 period as discussed in more detail on pages 7-8 of this release. Amgen is confident in its position in the dispute, and in the level of reserves the Company has established.
"We achieved strong, volume-driven growth in the quarter, while launching two very promising first-in-class medicines," said Robert A. Bradway, chairman and chief executive officer. "We are also advancing a robust pipeline with data for several mid-to-late stage candidates expected during the year."
References in this release to "non-GAAP" measures, measures presented "on a non-GAAP basis" and "free cash flow" (computed by subtracting capital expenditures from operating cash flow) refer to non-GAAP financial measures. Adjustments to the most directly comparable GAAP financial measures and other items are presented on the attached reconciliations. Refer to Non-GAAP Financial Measures below for further discussion.
Product Sales Performance
Total product sales increased 2% for the first quarter of 2022 versus the first quarter of 2021. Unit volumes grew 9%, offset by 7% lower net selling price and 2% negative impact from foreign exchange, and sales in the first quarter benefited 2% ($110 million) from year-over-year favorable changes to estimated sales deductions. Consistent with prior years, Enbrel® (etanercept) and Otezla® (apremilast) followed the pattern of lower Q1 sales relative to the remainder of the year due to the impact of benefit plan changes, insurance reverifications and increased co-pay expenses as U.S. patients work through deductibles.
COVID-19 continued to affect our business around the world in the first quarter. In March and April, we have seen the impact of the pandemic recede in the U.S., which has led to improved demand patterns and allowed us to engage in increased field-facing activities.
General Medicine
- Prolia sales increased 12% year-over-year for the first quarter, driven by 10% volume growth and higher net selling price.
- EVENITY sales increased 59% year-over-year to a record $170 million for the first quarter, driven by strong volume growth across our markets. U.S. sales grew 93% year-over-year, driven by 79% volume growth.
- Repatha sales increased 15% year-over-year for the first quarter, driven by 49% volume growth partially offset by lower net selling price. Sales grew 19% in the U.S., driven by 41% volume growth partially offset by lower net selling prices resulting from higher rebates to support and expand access for patients. Sales grew 12% outside the U.S., with 57% volume growth partially offset by lower net selling price primarily driven by the inclusion of Repatha on China's National Reimbursement Drug List as of January 1, 2022. Repatha remains the global proprotein convertase subtilisin/kexin type 9 (PCSK9) segment leader, with over 1 million patients treated since launch.
- Aimovig® (erenumab-aooe) sales increased 53% year-over-year for the first quarter, driven by favorable changes to estimated sales deductions and higher net selling price, partially offset by a 4% decline in volume.
Inflammation
- TEZSPIRE™ (tezepelumab-ekko) generated sales of $7 million for the first quarter. TEZSPIRE has been well received by prescribers, with initial adoption by both allergists and pulmonologists. Healthcare providers have welcomed the product's novel approach to treating the approximately 2.5 million worldwide patients with severe asthma who are uncontrolled or biologic eligible, without any phenotypic and biomarker limitation.
- Otezla® (apremilast) sales decreased 5% year-over-year for the first quarter, primarily driven by lower net selling price and lower inventory levels, partially offset by 7% volume growth. In the U.S., we saw strengthening of the market, with Otezla remaining the market share leader among patients who are new to systemic agents for psoriasis. U.S. sales were impacted in the first quarter as both wholesalers and specialty pharmacies reduced inventory levels. Otezla sales in the U.S. were also impacted by price declines in the first quarter, driven primarily by enhancements to our co-pay and patient assistance programs to support new patients starting treatment as well as additional rebates to improve the quality of coverage. Going forward, we expect continued strong volume growth and lower year-over-year price erosion for the remaining quarters of 2022.
- Enbrel® (etanercept) sales decreased 7% year-over-year for the first quarter, driven by declines in net selling price and inventory levels. Year-over-year volume remained flat in the first quarter, supported by Enbrel's long track record of efficacy and safety.
- AMGEVITA™ (adalimumab) sales increased 2% year-over-year for the first quarter, driven by 16% volume growth, partially offset by foreign exchange impact and lower net selling price resulting from increased competition. AMGEVITA continues to be the most prescribed adalimumab biosimilar in Europe.
Hematology-Oncology
- LUMAKRAS®/LUMYKRAS™ (sotorasib) generated $62 million of sales for the first quarter, representing 38% quarter-over-quarter growth. In the U.S., LUMAKRAS has been prescribed to approximately 2,500 patients by over 1,500 physicians in both academic and community settings. Outside the U.S., LUMYKRAS has now been approved in nearly 40 countries around the world, with recent reimbursement approvals in the United Kingdom and Japan.
- KYPROLIS® (carfilzomib) sales increased 14% year-over-year for the first quarter, driven by 13% volume growth.
- XGEVA® (denosumab) sales increased 7% year-over-year for the first quarter, driven by favorable changes to estimated sales deductions and higher net selling price, partially offset by a 2% decline in volume growth.
- Vectibix® (panitumumab) sales increased 5% year-over-year for the first quarter, driven by volume growth in ex-US markets. Vectibix remains the EGFR (epidermal growth factor receptor) inhibitor of choice across all lines of therapy.
- Nplate® (romiplostim) sales increased 17% year-over-year for the first quarter, driven by 7% volume growth and favorable changes to estimated sales deductions.
- BLINCYTO® (blinatumomab) sales increased 29% year-over-year for the first quarter, driven by volume growth.
- MVASI® sales decreased 17% year-over-year for the first quarter, primarily driven by lower net selling price that was partially offset by 13% volume growth. In the U.S., MVASI continues to hold leading volume share with 49% of the bevacizumab segment in the quarter. For the full-year, we expect continued net selling price erosion and volume declines driven by increased competition and Average Selling Price (ASP) erosion.
- KANJINTI® (trastuzumab-anns) sales decreased 40% year-over-year for the first quarter, primarily driven by declines in net selling price and volume. In the U.S., KANJINTI continues to hold leading volume share with 39% of the trastuzumab segment in the quarter. Going forward, we expect continued net selling price deterioration and volume declines driven by increased competition and ASP erosion.
Established Products
- Total sales of our established products, which include Neulasta® (pegfilgrastim), NEUPOGEN® (filgrastim), EPOGEN® (epoetin alfa), Aranesp® (darbepotein alfa), Parsabiv® (etelcalcetide), and Sensipar®/Mimpara™ (cinacalcet), decreased 12% year-over-year for the first quarter, primarily driven by lower net selling price and volume declines. In the aggregate, we expect the year-over-year net price and volume erosion for this portfolio of products to continue.
Product Sales Detail by Product and Geographic Region
Operating Expense, Operating Margin and Tax Rate Analysis
On a GAAP basis:
- Total Operating Expenses decreased 1%. Cost of Sales margin increased 0.6 percentage points primarily driven by manufacturing cost, including COVID-19 antibody manufacturing, and increased royalties and profit share, partially offset by lower amortization expenses from acquisition-related assets. Research & Development (R&D) expenses decreased 1%. The first quarter of 2021 included $53 million related to the Rodeo Therapeutics acquisition. Selling, General & Administrative (SG&A) expenses decreased 2%.
- Operating Margin as a percentage of product sales increased 5.5 percentage points to 43.6%.
- Tax Rate increased 0.5 percentage points primarily driven by current year net unfavorable items compared to last year partially offset by changes in earnings mix.
On a non-GAAP basis:
- Total Operating Expenses increased 2%. Cost of Sales margin increased 1.1 percentage points primarily driven by manufacturing cost, including COVID-19 antibody manufacturing, and increased royalties and profit share. R&D expenses decreased 1%. The first quarter of 2021 included $53 million related to the Rodeo Therapeutics acquisition. SG&A expenses decreased 1%.
- Operating Margin as a percentage of product sales increased 3.6 percentage points to 54.8%.
- Tax Rate increased 0.5 percentage points primarily driven by current year net unfavorable items compared to last year partially offset by changes in earnings mix.
Cash Flow and Balance Sheet
- The Company generated $2.0 billion of free cash flow in the first quarter of 2022 versus $1.9 billion in the first quarter of 2021.
- The Company's first quarter 2022 dividend of $1.94 per share was declared on December 3, 2021, and was paid on March 8, 2022, to all stockholders of record as of February 15, 2022, representing a 10% increase from 2021.
- On February 24, 2022, the Company entered into Accelerated Stock Repurchase (ASR) agreements to repurchase an aggregate of up to $6 billion of the Company's common stock with an initial 23.3 million shares received and retired. The final number of shares to be repurchased by the Company under the ASR will be based on the daily volume-weighted average stock price of the Company's common stock, subject to the terms of the ASR agreements. In total, the Company repurchased 24.6 million shares of common stock at a total cost of $6.3 billion during the first quarter of 2022, including shares received under the ASR agreements.
- Cash and investments totaled $6.5 billion and debt outstanding totaled $36.9 billion as of March 31, 2022.
2022 Guidance
For the full year 2022, the Company now expects:
- Total revenues in the range of $25.4 billion to $26.5 billion.
- On a GAAP basis, EPS in the range of $12.53 to $13.58 and a tax rate in the range of 10.5% to 12.0%.
- On a non-GAAP basis, EPS in the range of $17.00 to $18.00 and a tax rate in the range of 13.5% to 14.5%.
- Capital expenditures to be approximately $950 million.
- Share repurchases in the range of $6.0 billion to $7.0 billion.
U.S. Tax Petition
On April 18, 2022, Amgen received a notice of deficiency from the IRS for the 2013-2015 period proposing adjustments primarily related to the allocation of profits between certain of the Company's entities in the United States and the U.S. territory of Puerto Rico similar to those previously proposed by the IRS for the 2010-2012 period. This notice seeks to increase Amgen's U.S. taxable income for the 2013-2015 period by an amount that would result in additional federal tax of approximately $5.1 billion, plus interest. In addition, the notice proposes penalties of approximately $2 billion.
Amgen firmly believes that the adjustments proposed by the IRS for the 2010-2015 period and the penalties proposed by the IRS for the 2013-2015 period are without merit:
- Puerto Rico is the site of the Company's flagship manufacturing complex responsible for the majority of Amgen's global manufacturing. Amgen has had a substantial manufacturing presence in Puerto Rico for 30 years, and the Company's Puerto Rico subsidiary produces sophisticated biologic medicines for millions of patients around the world. The many valuable contributions of the Company's Puerto Rico subsidiary include the effort and expertise of its 2,400 highly skilled staff members, the nearly $4 billion in capital investments it has made on the Island, the valuable assets it possesses, and the significant risks it has assumed in connection with its business. It is through these investments that Amgen has been able to meet the needs of every patient, every time.
- Amgen's allocation of profit between its U.S. and Puerto Rico entities appropriately recognizes the key contributions made by the Company's Puerto Rico subsidiary. The IRS position fails to adequately account for the importance of these value drivers. The proposed adjustments would result in Amgen's Puerto Rico subsidiary earning little or no profit from its operations despite the value of and risk associated with its contributions.
- The IRS audited Amgen at length for many years on the allocation of profit between the U.S. and Puerto Rico. These audits were resolved through agreements with the IRS, resulting in no financial statement detriment to the Company. Refer to Footnote 5, Income Taxes, in Amgen's 2007 and 2008 Form 10-K filings, and Footnote 4, Income Taxes, in Amgen's 2012 and 2013 Form 10-K filings.
Further, the amount of the adjustments proposed by the IRS for the 2010-2015 period overstates by billions of dollars the magnitude of the dispute:
- Amgen believes, based upon the positions advanced by the IRS, that the IRS adjustments for the 2010-2015 period are overstated by approximately $2 billion due to the IRS failure to account for certain income and expenses. Amgen has reported its income and expenses in a consistent manner for many years and the IRS has appropriately accounted for the Company's income and expenses in all prior audits.
- Any additional tax that could be imposed for the 2010-2015 period would be reduced by up to approximately $3.1 billion of repatriation tax previously accrued with respect to the Company's Puerto Rico earnings.
- Amgen previously made advance tax deposits to the IRS totaling $1.1 billion for the 2010-2015 period. These deposits would further reduce any additional cash tax that could be imposed.
In addition, Amgen believes the IRS assertion of approximately $2 billion in penalties for the 2013-2015 period is wholly unwarranted. Amgen has applied a consistent transfer pricing methodology since 2002, has documented that transfer pricing methodology as required under relevant tax regulations, and has extensively discussed that methodology with the IRS across multiple tax audits over multiple years. The IRS has never previously proposed transfer pricing penalties.
Amgen believes that the Company has appropriate tax reserves. The Company filed a petition in the U.S. Tax Court in July 2021 to contest the adjustments previously proposed for the 2010-2012 period and plans to file another petition in the U.S. Tax Court to contest the adjustments proposed in the notice for the 2013-2015 period. Amgen will seek consolidation of the two periods into one case in Tax Court. The dispute is expected to take several years to resolve.
The IRS is currently auditing the 2016-2018 period. Amgen expects the audit to continue for several years, and it is possible the 2010-2015 dispute will be resolved before the conclusion of the 2016-2018 audit and administrative appeals process. Any transfer pricing adjustments the IRS may propose for this period will be lessened by the change in tax rates resulting from the 2017 tax reform law, which reduced the difference between the tax rates applicable in the U.S. and Puerto Rico by approximately two thirds beginning in 2018.
First Quarter Product and Pipeline Update
The Company provided the following updates on selected product and pipeline programs:
Inflammation
TEZSPIRE
- In February, data were presented at the American Academy of Allergy, Asthma, and Immunology Annual meeting that demonstrated reductions in the annualized asthma exacerbation rate across biomarker subgroups of patients with severe asthma and consistent efficacy throughout the year, regardless of season.
- The WAYFINDER Phase 3b study, designed to demonstrate a reduction in oral corticosteroid use in adult participants with severe asthma on long-term oral corticosteroid therapy, was initiated.
- The PASSAGE Phase 4 real-world effectiveness study was initiated in adult and adolescent participants with severe asthma, including underrepresented populations such as Black Americans, smokers and patients with asthma-chronic obstructive pulmonary disease overlap.
- A Phase 3 study continues to enroll patients with chronic rhinosinusitis with nasal polyps.
- Planning is underway for a Phase 3 study in patients with eosinophilic esophagitis.
- A Phase 2b study continues to enroll patients with chronic spontaneous urticaria.
- A Phase 2 study continues to enroll patients with chronic obstructive pulmonary disease.
Otezla
- In March, data were presented at the American Academy of Dermatology Association meeting. Among others, the Company presented new results from both the ADVANCE and PROMINENT Phase 3 studies reinforcing the efficacy of Otezla in patients with mild to moderate plaque psoriasis, and results from the Phase 2 Japanese trial (PPP-001) in palmoplantar pustulosis (PPP). Results from PPP-001 indicated that Otezla was associated with statistically significant improvements in the primary endpoint and all secondary endpoints vs. placebo.
- In March, a Phase 3 study for the treatment of Japanese patients with PPP was initiated.
Rocatinlimab (AMG 451 / KHK4083)
- Phase 3 planning continues for rocatinlimab, an anti-OX40 monoclonal antibody being investigated in patients with heterogeneous moderate to severe atopic dermatitis.
- Rocatinlimab binds activated pathogenic T-cells expressing OX40. Through its unique mechanism of action, rocatinlimab inhibits and prevents the expansion of activated pathogenic T-cells, and reduces their number.
- Initiation of the comprehensive ROCKET Phase 3 program is anticipated in mid-2022.
Rozibafusp alfa (AMG 570)
- A Phase 2b study of rozibafusp alfa, an antibody-peptide conjugate that simultaneously blocks inducible T-cell costimulatory ligand (ICOSL) and B-cell activating factor (BAFF) activity, continues to enroll patients with systemic lupus erythematosus (SLE).
Efavaleukin alfa (AMG 592)
- A Phase 2b study of efavaleukin alfa, an interleukin-2 (IL-2) mutein Fc fusion protein, continues to enroll patients with SLE while a Phase 2 study continues to enroll patients with ulcerative colitis.
Ordesekimab (AMG 714 / PRV-015)
- A Phase 2b study of AMG 714, a monoclonal antibody that binds interleukin-15 (IL-15), continues to enroll patients with nonresponsive celiac disease.
Oncology
LUMAKRAS/LUMYKRAS
- LUMAKRAS/LUMYKRAS is now approved in nearly 40 countries for the treatment of adults with advanced non-small cell lung cancer (NSCLC) with KRAS G12C mutation and who have progressed after at least one prior line of systemic therapy. Regulatory reviews continue in other jurisdictions.
- In April, data were presented at the American Association for Cancer Research annual meeting on the long-term outcomes from a two-year analysis of the CodeBreak 100 trial in patients with KRAS G12C-mutated advanced NSCLC. These data showed that 32.5% of patients were still alive at two years and that prolonged tumor response was also observed with a 40.7% objective response rate by central review. There were no new safety signals reported over the course of this 2-year follow-up analysis.
- In February, data were presented at the American Society of Clinical Oncology plenary series demonstrating a centrally confirmed objective response rate of 21% and disease control rate of 84% in 38 patients with heavily pre-treated advanced pancreatic cancer. The Company continues to explore the benefit of LUMAKRAS in this setting.
- Initial data from cohorts exploring LUMAKRAS in combination with the anti-programmed cell death 1 protein (PD-1) antibody pembrolizumab in patients with KRAS G12C-mutated NSCLC were submitted to a medical congress taking place in the late summer.
- Initial data from cohorts exploring LUMAKRAS in combination with the Src homology-2 domain-containing protein tyrosine phosphatase-2 (SHP2) inhibitor RMC-4630 from Revolution Medicines in patients with KRAS G12C-mutated NSCLC were submitted to a medical congress taking place in the late summer.
- Top-line results from the event-driven, confirmatory Phase 3 study comparing LUMAKRAS to docetaxel in patients with KRAS G12C-mutated advanced NSCLC are expected in Q3-2022.
- Top-line results from a study comparing the 960 mg/day dose of LUMAKRAS with a lower dose of 240 mg/day in patients with KRAS G12C-mutated advanced NSCLC are expected in Q4-2022.
- A Phase 2 study in first-line patients with KRAS G12C-mutated NSCLC whose tumors express serine/threonine kinase 11 (STK11) mutations and/or less than 1% programmed death-ligand 1 continues to enroll.
- A Phase 3 study of LUMAKRAS in combination with Vectibix in third-line KRAS G12C-mutated colorectal cancer is enrolling patients.
Bemarituzumab
- A Phase 3 study (FORTITUDE-101) of bemarituzumab, a fibroblast growth factor receptor 2b (FGFR2b) targeting monoclonal antibody plus chemotherapy, versus placebo plus chemotherapy in first-line gastric cancer with FGFR2b overexpression continues to enroll patients.
- A Phase 1b/3 study (FORTITUDE-102) of bemarituzumab plus chemotherapy and nivolumab versus chemotherapy and nivolumab in first-line gastric cancer with FGFR2b overexpression continues to enroll patients.
- A Phase 1b study (FORTITUDE-103) of bemarituzumab plus oral chemotherapy regimens in first-line gastric cancer with FGFR2b overexpression was initiated.
- A Phase 1b study (FORTITUDE-201) of bemarituzumab monotherapy and in combination with docetaxel is enrolling patients with squamous NSCLC with FGFR2b overexpression.
- Planning is underway for a signal-seeking basket study in other solid tumors.
Tarlatamab (AMG 757)
- DeLLphi-301, a potentially registrational Phase 2 study of tarlatamab, an HLE BiTE molecule targeting delta-like ligand 3 (DLL3), for the treatment of relapsed/refractory small cell lung cancer (SCLC) after two or more prior lines of treatment continues to enroll patients.
- A Phase 1b study of tarlatamab in combination with AMG 404 continues to enroll patients with second-line or later SCLC.
- DeLLphi-303, a Phase 1b study, testing tarlatamab in combination with standard of care in first-line SCLC, is on track to start enrolling patients this quarter.
- Updated exploration and first expansion Phase 1 data of tarlatamab in patients with relapsed/refractory SCLC were submitted to a medical congress taking place in late summer.
- A Phase 1b study of tarlatamab continues to enroll patients with de novo or treatment emergent neuroendocrine prostate cancer.
Acapatamab (AMG 160)
- Data continue to mature in a dose-expansion cohort of acapatamab, a half-life extended (HLE) BiTE molecule targeting prostate-specific membrane antigen (PSMA) for the treatment of patients with metastatic castrate-resistant prostate cancer (mCRPC). Decision-enabling data are expected in H1 2022.
- A master protocol evaluating combinations with acapatamab continues to enroll patients with earlier-line mCRPC.
AMG 340
- A Phase 1 dose-escalation study of AMG 340, a lower T-cell affinity BiTE molecule targeting PSMA, is enrolling patients with mCRPC.
AMG 509
- A Phase 1 dose-escalation study of AMG 509, a bi-specific molecule targeting six-transmembrane epithelial antigen of prostate 1 (STEAP1) continues to enroll patients with mCRPC.
AMG 193
- A Phase 1/1b/2 study of AMG 193, a novel small-molecule methylthioadenosine (MTA) cooperative protein arginine methyltransferase 5 (PRMT5) molecular glue, continues to enroll patients with advanced methylthioadenosine phosphorylase (MTAP)-null solid tumors.
AMG 330
- Development of AMG 330, a BiTE molecule targeting CD33, being investigated for the treatment of acute myeloid leukemia (AML) has been discontinued based on the overall benefit:risk profile observed and the Company's on-going efforts to prioritize programs with the greatest potential benefit to AML patients. These on-going programs include AMG 176, a small-molecule inhibitor of myeloid cell leukemia 1 (MCL-1) and AMG 427, an HLE BiTE molecule targeting anti-fms-like tyrosine kinase 3 (FLT3).
General Medicine
Repatha
- In April, the Company announced results from two Repatha open label extension (OLE) studies (FOURIER-OLE) designed to assess the long-term safety and tolerability of Repatha in more than 6,600 high-risk adults with clinically evident atherosclerotic cardiovascular disease.
- In the OLE studies, patients received Repatha for approximately 5 years, with some patients receiving Repatha for up to 8.5 years in aggregate across the FOURIER and OLE studies.
- No new long-term safety findings were observed.
- Medically significant and sustained reduction in low-density lipoprotein cholesterol (LDL-C) levels were observed, with more than 85 percent of patients achieving an LDL-C level of <40 mg/dL during the OLE period.
- The results of these studies will be presented at an upcoming medical congress later this year.
Olpasiran (AMG 890)
- Top-line results from a Phase 2 study of olpasiran, a lipoprotein(a) (Lp(a)) small interfering RNA molecule, in subjects with elevated Lp(a), are expected in H1 2022. Presentation of results is expected at a medical congress in H2 2022.
AMG 133
- A Phase 1 study of AMG 133, a multispecific that inhibits the gastric inhibitory polypeptide receptor (GIPR) and activates the glucagon-like peptide 1 (GLP-1) receptor, continues to enroll patients in the multidose portion of the study.
Biosimilars
- In April, the Company announced preliminary results from a Phase 3 study evaluating the efficacy and safety of ABP 654 compared to STELARA® (ustekinumab) in adult patients with moderate to severe plaque psoriasis. The study met the primary efficacy endpoint, demonstrating no clinically meaningful differences between ABP 654 and STELARA.
- A Phase 3 study to support an interchangeability designation in the U.S. for ABP 654 is ongoing.
- Phase 3 studies of ABP 938, an investigational biosimilar to EYLEA® (aflibercept), and ABP 959, an investigational biosimilar to SOLIRIS® (eculizumab), are on track, with data expected in 2022.
- A Phase 3 study to support an interchangeability designation in the U.S. for AMJEVITA™ (adalimumab-atto) is enrolling patients.
Environmental, Social & Governance Report Released Today
Amgen today released its latest Environmental, Social & Governance (ESG) report at amgen.com/responsibility, providing a comprehensive overview of the many ways the Company is building a better, healthier world. The report tracks the Company's progress across four categories:
- Healthy People: Focusing on removing barriers that limit equitable access to healthcare so that people can live their healthiest lives. In 2021, for example, the Amgen Safety Net Foundation1 provided $2.2 billion2 of the Company's medicines, at no cost, to uninsured or underinsured patients in the U.S.
- Healthy Society: Working toward a more just society for our employees and the people we serve. In 2021, no-cost science education programs funded by the Amgen Foundation1 reached more than 27 million students and educators globally, helping to level the scientific playing field.
- Healthy Planet: Prioritizing sustainability and aiming to minimize our environmental impact. Amgen continued its progress in 2021 toward the goal of achieving carbon neutrality in our operations by 20273.
- Healthy Amgen: Holding ourselves to high standards in the Company's operations – working to ensure that our actions and culture reflect Amgen values. In 2021, and again in 2022, Amgen added an ESG goal to our annual incentive plans to focus our entire Company on activities supporting achievement of our 2027 environment sustainability targets and to strengthen and improve the Company's diversity, inclusion, and belonging efforts.
1 Amgen Safety Net Foundation and The Amgen Foundation, Inc. are separate legal entities entirely funded by Amgen.
2 Valued at Wholesale Acquisition Cost.
3 Carbon neutrality goal refers to Scope 1 and 2 emissions.
TEZSPIRE is being developed in collaboration with AstraZeneca.
Rocatinlimab, formerly AMG 451 / KHK4083 is being developed in collaboration with Kyowa Kirin.
Ordesekimab formerly AMG 714 and also known as PRV-015 is being developed in collaboration with Provention Bio.
AMG 509 is being developed in collaboration with Xencor.
STELARA is a registered trademark of Janssen Pharmaceutica NV.
EYLEA is a registered trademark of Regeneron Pharmaceuticals, Inc.
SOLIRIS is a registered trademark of Alexion Pharmaceuticals, Inc.
Non-GAAP Financial Measures
In this news release, management has presented its operating results for the first quarters of 2022 and 2021, in accordance with U.S. Generally Accepted Accounting Principles (GAAP) and on a non-GAAP basis. In addition, management has presented its full year 2022 EPS and tax guidance in accordance with GAAP and on a non-GAAP basis. These non-GAAP financial measures are computed by excluding certain items related to acquisitions, restructuring and certain other items from the related GAAP financial measures. Reconciliations for these non-GAAP financial measures to the most directly comparable GAAP financial measures are included in the news release. Management has also presented Free Cash Flow (FCF), which is a non-GAAP financial measure, for the first quarters of 2022 and 2021. FCF is computed by subtracting capital expenditures from operating cash flow, each as determined in accordance with GAAP.
The Company believes that its presentation of non-GAAP financial measures provides useful supplementary information to and facilitates additional analysis by investors. The Company uses certain non-GAAP financial measures to enhance an investor's overall understanding of the financial performance and prospects for the future of the Company's ongoing business activities by facilitating comparisons of results of ongoing business operations among current, past and future periods. The Company believes that FCF provides a further measure of the Company's liquidity.
The Company uses the non-GAAP financial measures set forth in the news release in connection with its own budgeting and financial planning internally to evaluate the performance of the business, including to allocate resources and to evaluate results relative to incentive compensation targets. The non-GAAP financial measures are in addition to, not a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP.
About Amgen
Amgen is committed to unlocking the potential of biology for patients suffering from serious illnesses by discovering, developing, manufacturing and delivering innovative human therapeutics. This approach begins by using tools like advanced human genetics to unravel the complexities of disease and understand the fundamentals of human biology.
Amgen focuses on areas of high unmet medical need and leverages its expertise to strive for solutions that improve health outcomes and dramatically improve people's lives. A biotechnology pioneer since 1980, Amgen has grown to be one of the world's leading independent biotechnology companies, has reached millions of patients around the world and is developing a pipeline of medicines with breakaway potential.
Amgen is one of the 30 companies that comprise the Dow Jones Industrial Average and is also part of the Nasdaq-100 index. In 2021, Amgen was named one of the 25 World's Best Workplaces™ by Fortune and Great Place to Work™ and one of the 100 most sustainable companies in the world by Barron's.
For more information, visit www.amgen.com and follow us on www.twitter.com/amgen.
Forward-Looking Statements
This news release contains forward-looking statements that are based on the current expectations and beliefs of Amgen. All statements, other than statements of historical fact, are statements that could be deemed forward-looking statements, including any statements on the outcome, benefits and synergies of collaborations, or potential collaborations, with any other company (including BeiGene, Ltd., Kyowa-Kirin Co., Ltd., Generate Biomedicines, Inc., Arrakis Therapeutics, Inc., Plexium, Inc., or any collaboration to manufacture therapeutic antibodies against COVID-19), the performance of Otezla® (apremilast) (including anticipated Otezla sales growth and the timing of non-GAAP EPS accretion), the Five Prime Therapeutics, Inc. acquisition, or the Teneobio, Inc. acquisition, as well as estimates of revenues, operating margins, capital expenditures, cash, other financial metrics, expected legal, arbitration, political, regulatory or clinical results or practices, customer and prescriber patterns or practices, reimbursement activities and outcomes, effects of pandemics or other widespread health problems such as the ongoing COVID-19 pandemic on our business, outcomes, progress, and other such estimates and results. Forward-looking statements involve significant risks and uncertainties, including those discussed below and more fully described in the Securities and Exchange Commission reports filed by Amgen, including our most recent annual report on Form 10-K and any subsequent periodic reports on Form 10-Q and current reports on Form 8-K. Unless otherwise noted, Amgen is providing this information as of the date of this news release and does not undertake any obligation to update any forward-looking statements contained in this document as a result of new information, future events or otherwise.
No forward-looking statement can be guaranteed and actual results may differ materially from those we project. Our results may be affected by our ability to successfully market both new and existing products domestically and internationally, clinical and regulatory developments involving current and future products, sales growth of recently launched products, competition from other products including biosimilars, difficulties or delays in manufacturing our products and global economic conditions. In addition, sales of our products are affected by pricing pressure, political and public scrutiny and reimbursement policies imposed by third-party payers, including governments, private insurance plans and managed care providers and may be affected by regulatory, clinical and guideline developments and domestic and international trends toward managed care and healthcare cost containment. Furthermore, our research, testing, pricing, marketing and other operations are subject to extensive regulation by domestic and foreign government regulatory authorities. We or others could identify safety, side effects or manufacturing problems with our products, including our devices, after they are on the market. Our business may be impacted by government investigations, litigation and product liability claims. In addition, our business may be impacted by the adoption of new tax legislation or exposure to additional tax liabilities. If we fail to meet the compliance obligations in the corporate integrity agreement between us and the U.S. government, we could become subject to significant sanctions. Further, while we routinely obtain patents for our products and technology, the protection offered by our patents and patent applications may be challenged, invalidated or circumvented by our competitors, or we may fail to prevail in present and future intellectual property litigation. We perform a substantial amount of our commercial manufacturing activities at a few key facilities, including in Puerto Rico, and also depend on third parties for a portion of our manufacturing activities, and limits on supply may constrain sales of certain of our current products and product candidate development. An outbreak of disease or similar public health threat, such as COVID-19, and the public and governmental effort to mitigate against the spread of such disease, could have a significant adverse effect on the supply of materials for our manufacturing activities, the distribution of our products, the commercialization of our product candidates, and our clinical trial operations, and any such events may have a material adverse effect on our product development, product sales, business and results of operations. We rely on collaborations with third parties for the development of some of our product candidates and for the commercialization and sales of some of our commercial products. In addition, we compete with other companies with respect to many of our marketed products as well as for the discovery and development of new products. Discovery or identification of new product candidates or development of new indications for existing products cannot be guaranteed and movement from concept to product is uncertain; consequently, there can be no guarantee that any particular product candidate or development of a new indication for an existing product will be successful and become a commercial product. Further, some raw materials, medical devices and component parts for our products are supplied by sole third-party suppliers. Certain of our distributors, customers and payers have substantial purchasing leverage in their dealings with us. The discovery of significant problems with a product similar to one of our products that implicate an entire class of products could have a material adverse effect on sales of the affected products and on our business and results of operations. Our efforts to collaborate with or acquire other companies, products or technology, and to integrate the operations of companies or to support the products or technology we have acquired, may not be successful. A breakdown, cyberattack or information security breach could compromise the confidentiality, integrity and availability of our systems and our data. Our stock price is volatile and may be affected by a number of events. Global economic conditions may magnify certain risks that affect our business. Our business performance could affect or limit the ability of our Board of Directors to declare a dividend or our ability to pay a dividend or repurchase our common stock. We may not be able to access the capital and credit markets on terms that are favorable to us, or at all.
CONTACT: Amgen, Thousand Oaks
Jessica Akopyan, 805-440-5721 (media)
Arvind Sood, 805-447-1060 (investors)
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SOURCE Amgen | https://www.whsv.com/prnewswire/2022/04/27/amgen-reports-first-quarter-2022-financial-results/ | 2022-04-27T20:51:43Z |
DENVER, April 27, 2022 /PRNewswire/ -- Antero Midstream Corporation (NYSE: AM) ("Antero Midstream" or the "Company") today announced its first quarter 2022 financial and operational results. The relevant unaudited condensed consolidated financial statements are included in Antero Midstream's Quarterly Report on Form 10-Q for the quarter ended March 31, 2022.
First Quarter 2022 Earnings Highlights:
- Net Income was $80 million, or $0.17 per share, in line with the prior year quarter
- Adjusted Net Income was $93 million, or $0.19 per share, compared to $101 million, or $0.21 per share in the prior year quarter (non-GAAP measure)
- Adjusted EBITDA was $209 million (non-GAAP measure)
- Capital expenditures were $95 million
- Net cash provided by operating activities was $185 million
- Free Cash Flow before dividends was $70 million (non-GAAP measure)
- Total debt and Net Debt at quarter end were $3.1 billion and Net Debt to last twelve months Adjusted EBITDA was 3.6x (non-GAAP measure)
- Low pressure gathering volumes increased by 3% compared to the prior year quarter
Paul Rady, Chairman and CEO said, "Antero Midstream executed its organic growth plan during the quarter, resulting in year-over-year volume growth in gathering and processing. Looking ahead, we are well positioned as the critical first mile infrastructure linking low-cost natural gas supply to increasing global LNG demand. Our continued focus on organic investments in critical infrastructure provides a highly visible, de-risked growth outlook."
Mr. Rady added, "Importantly, Antero Midstream has taken significant steps to minimize the impacts of inflation on the budget and guidance. This includes inflation-protected fees with high EBITDA margins, pre-buying steel for pipelines and securing firm bids for major projects. These efforts result in an unchanged 2022 capital budget of $275 to $300 million. Antero Midstream's short lead-time capital investments, combined with visibility into the Antero Resources development plan, allow us to generate attractive, de-risked return on invested capital."
For a discussion of the non-GAAP financial measures, including Adjusted EBITDA, Adjusted Net Income, Free Cash Flow before dividends, and Net Debt, please see "Non-GAAP Financial Measures."
First Quarter 2022 Financial Results
Low pressure gathering volumes for the first quarter of 2022 averaged 2,930 MMcf/d, a 3% increase as compared to the prior year quarter. Low pressure gathering volumes were in excess of the growth incentive fee threshold of 2,900 MMcf/d, resulting in a $12 million rebate to Antero Resources. Compression volumes for the first quarter of 2022 averaged 2,816 MMcf/d, a 4% increase compared to the prior year quarter. High pressure gathering volumes averaged 2,878 MMcf/d, a 2% increase compared to the first quarter of 2021. Fresh water delivery volumes averaged 87 MBbl/d during the quarter, a 16% decrease compared to the first quarter of 2021.
Gross processing volumes from the processing and fractionation joint venture (the "Joint Venture") averaged 1,514 MMcf/d for the first quarter of 2022, a 6% increase compared to the prior year quarter. Joint Venture processing capacity was 95% utilized during the quarter based on nameplate processing capacity of 1.6 Bcf/d. Gross Joint Venture fractionation volumes averaged 34 MBbl/d, an 11% decrease compared to the prior year quarter. The decrease in fractionation volumes was attributable to lower third party production volumes in the basin. Joint Venture fractionation capacity was 85% utilized during the quarter based on nameplate fractionation capacity of 40 MBbl/d.
For the three months ended March 31, 2022, revenues were $218 million comprised of $173 million from the Gathering and Processing segment and $45 million from the Water Handling segment, net of $18 million of amortization of customer relationships. Water Handling revenues include $22 million from wastewater handling and high rate water transfer services.
Direct operating expenses for the Gathering and Processing and Water Handling segments were $17 million and $25 million, respectively, for a total of $42 million, compared to $39 million in total direct operating expenses in the prior year quarter. The increase in direct operating expenses was driven by resuming fresh water deliveries in the Utica for Antero Resources' development program during the first quarter of 2022. Water Handling operating expenses include $19 million from wastewater handling and high rate water transfer services. General and administrative expenses excluding equity-based compensation were $15 million during the first quarter of 2022. Total operating expenses during the first quarter of 2022 included $3 million of equity-based compensation expense and $28 million of depreciation.
Net Income was $80 million, or $0.17 per share. Net Income adjusted for amortization of customer relationships, impairment expense, loss (gain) on asset sale, net of tax effects of reconciling items, or Adjusted Net Income, was $93 million. Adjusted Net Income per share was $0.19 per share, a 10% decrease compared to the prior year quarter.
The following table reconciles Net Income to Adjusted Net Income (in thousands):
Adjusted EBITDA was $209 million. Interest expense was $44 million, a 3% increase compared to the prior year quarter. Capital expenditures were $95 million, a 216% increase compared to the prior year quarter as Antero Midstream continued construction on growth projects supporting the Antero Resources' and QL Capital Partners' drilling partnership. Free Cash Flow before dividends was $70 million, a 52% decrease compared to the prior year quarter driven primarily by higher growth capital expenditures during the quarter. Free Cash Flow after dividends was a $38 million deficit compared to $39 million in the prior year quarter.
The following table reconciles Net Income to Adjusted EBITDA and Free Cash Flow before and after dividends (in thousands):
The following table reconciles net cash provided by operating activities to Free Cash Flow before and after dividends (in thousands):
First Quarter 2022 Operating Update
Gathering and Processing — During the first quarter of 2022, Antero Midstream connected 17 wells to its gathering system. The Company continued construction on the Castle Peak compressor station in the liquids-rich Marcellus shale, which is expected to be placed in service late the second quarter of 2022. The Castle Peak station will have an initial capacity of 160 MMcf/d and will be expanded to 240 MMcf/d in 2023. In addition, Antero Midstream continued construction on the Wetzel County high pressure pipeline that will be placed online in the fourth quarter of 2022. These additional infrastructure projects will support the expected throughput growth in the second half of 2022.
Water Handling— Antero Midstream's water delivery systems serviced 21 well completions during the first quarter of 2022. The 21 wells serviced during the first quarter included completion operations on a 7 well pad late during the quarter that will result in a portion of those volumes included in the second quarter of 2022.
Capital Investments
Total accrued capital expenditures were $95 million during the first quarter of 2022. Of the $95 million invested in gathering, compression, and water infrastructure, $78 million was in gathering and compression assets and $17 million was in water handling assets. There were no investments in the Joint Venture during the quarter.
Brendan Krueger, CFO of Antero Midstream, said "As a result of the upfront investment in growth capital expenditures occurring in the first half of 2022, we are quickly approaching an inflection point for Antero Midstream in the second half of 2022. Capital expenditures will decline, volumes will continue to increase and we expect to transition to generating Free Cash Flow after dividends for the foreseeable future. This will allow us to reduce absolute debt and leverage towards our target of 3.0x or less."
Conference Call
A conference call for Antero Midstream is scheduled on Thursday, April 28, 2022 at 10:00 am MT to discuss the financial and operational results. A brief Q&A session for security analysts will immediately follow the discussion of the results for the quarter. To participate in the call, dial in at 877-407-9126 (U.S.), or 201-493-6751 (International) and reference "Antero Midstream". A telephone replay of the call will be available until Thursday, May 5, 2022 at 10:00 am MT at 877-660-6853 (U.S.) or 201-612-7415 (International) using the conference ID: 13726234. To access the live webcast and view the related earnings conference call presentation, visit Antero Midstream's website at www.anteromidstream.com. The webcast will be archived for replay until Thursday, May 5, 2022 at 10:00 am MT.
Non-GAAP Financial Measures and Definitions
Antero Midstream uses certain non-GAAP financial measures. Antero Midstream defines Adjusted Net Income as Net Income plus amortization of customer relationships and impairment expense, excluding gain and loss on asset sale and loss on early extinguishment of debt, net of tax effect of reconciling items. Antero Midstream uses Adjusted Net Income to assess the operating performance of its assets. Antero Midstream defines Adjusted EBITDA as Net Income plus interest expense, income tax expense, amortization of customer relationships, depreciation expense, impairment expense, loss (gain) on asset sale, accretion of asset retirement obligations, and equity-based compensation expense, and loss on early extinguishment of debt, excluding equity in earnings of unconsolidated affiliates, plus distributions from unconsolidated affiliates.
Antero Midstream uses Adjusted EBITDA to assess:
- the financial performance of Antero Midstream's assets, without regard to financing methods, capital structure or historical cost basis;
- its operating performance and return on capital as compared to other publicly traded companies in the midstream energy sector, without regard to financing or capital structure; and
- the viability of acquisitions and other capital expenditure projects.
Antero Midstream defines Free Cash Flow before dividends as Adjusted EBITDA less interest expense and accrual-based capital expenditures. Free Cash Flow after dividends is defined as Free Cash Flow before dividends less accrual-based dividends declared for the quarter. Antero Midstream uses Free Cash Flow before and after dividends as a performance metric to compare the cash generating performance of Antero Midstream from period to period.
Adjusted EBITDA, Adjusted Net Income, and Free Cash Flow before and after dividends are non-GAAP financial measures. The GAAP measure most directly comparable to these measures is Net Income. Such non-GAAP financial measures should not be considered as alternatives to the GAAP measures of Net Income and cash flows provided by (used in) operating activities. The presentations of such measures are not made in accordance with GAAP and have important limitations as analytical tools because they include some, but not all, items that affect Net Income and cash flows provided by (used in) operating activities. You should not consider any or all such measures in isolation or as a substitute for analyses of results as reported under GAAP. Antero Midstream's definitions of such measures may not be comparable to similarly titled measures of other companies.
Antero Midstream defines Net Debt as consolidated total debt, excluding unamortized debt premiums and debt issuance costs, less cash and cash equivalents. Antero Midstream views Net Debt as an important indicator in evaluating Antero Midstream's financial leverage. The GAAP measure most directly comparable to Net Debt is total debt, excluding unamortized debt premiums and debt issuance costs.
The following table reconciles cash paid for capital expenditures and accrued capital expenditures during the period (in thousands):
The following table reconciles consolidated total debt to consolidated net debt, excluding debt premiums and issuance costs, ("Net Debt") as used in this release (in thousands):
The following table reconciles Net Income to Adjusted EBITDA for the last twelve months as used in this release (in thousands):
Antero Midstream Corporation is a Delaware corporation that owns, operates and develops midstream gathering, compression, processing and fractionation assets located in the Appalachian Basin, as well as integrated water assets that primarily service Antero Resources Corporation's properties.
This release includes "forward-looking statements." Such forward-looking statements are subject to a number of risks and uncertainties, many of which are not under Antero Midstream's control. All statements, except for statements of historical fact, made in this release regarding activities, events or developments Antero Midstream expects, believes or anticipates will or may occur in the future, such as statements regarding Antero Midstream's ability to execute its business plan and return capital to its stockholders, information regarding Antero Midstream's return of capital policy, information regarding long-term financial and operating outlooks for Antero Midstream and Antero Resources, information regarding Antero Resources' expected future growth and its ability to meet its drilling and development plan and the participation level of Antero Resources' drilling partner and the impact on demand for Antero Midstream's services as a result of incremental production by Antero Resources, are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All forward-looking statements speak only as of the date of this release. Although Antero Midstream believes that the plans, intentions and expectations reflected in or suggested by the forward-looking statements are reasonable, there is no assurance that these plans, intentions or expectations will be achieved. Therefore, actual outcomes and results could materially differ from what is expressed, implied or forecast in such statements. Except as required by law, Antero Midstream expressly disclaims any obligation to and does not intend to publicly update or revise any forward-looking statements.
Antero Midstream cautions you that these forward-looking statements are subject to all of the risks and uncertainties incident to our business, most of which are difficult to predict and many of which are beyond Antero Midstream's control. These risks include, but are not limited to, commodity price volatility, inflation, environmental risks, Antero Resources' drilling and completion and other operating risks, regulatory changes, the uncertainty inherent in projecting Antero Resources' future rates of production, cash flows and access to capital, the timing of development expenditures, impacts of geopolitical events and world health events, including the COVID-19 pandemic, cybersecurity risk, our ability to achieve our greenhouse gas reduction targets and the costs associated therewith, the state of markets for and availability of verified quality carbon offsets and the other risks described under the heading "Item 1A. Risk Factors" in Antero Midstream's Annual Report on Form 10-K for the year ended December 31, 2021.
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SOURCE Antero Midstream Corporation | https://www.whsv.com/prnewswire/2022/04/27/antero-midstream-announces-first-quarter-2022-financial-operational-results/ | 2022-04-27T20:51:51Z |
DENVER, April 27, 2022 /PRNewswire/ -- Antero Resources Corporation (NYSE: AR) ("Antero Resources", "Antero", or the "Company") today announced its first quarter 2022 financial and operating results. The relevant consolidated financial statements are included in Antero Resources' Quarterly Report on Form 10-Q for the quarter ended March 31, 2022.
First Quarter 2022 Highlights Include:
- Net production averaged 3.2 Bcfe/d, including 160 MBbl/d of liquids
- Realized pre-hedge natural gas equivalent price of $6.04 per Mcfe, a $1.09 per Mcfe premium to NYMEX pricing
- Net loss was $156 million, Adjusted Net Income was $360 million (Non-GAAP)
- Adjusted EBITDAX was $707 million (Non-GAAP); net cash provided by operating activities was $566 million
- Free Cash Flow was $465 million before Changes in Working Capital (Non-GAAP)
- Repurchased $100 million of shares during the quarter at an average price of $27.11 per share
- Total long-term debt and Net Debt at quarter end was $1.96 billion
- Net Debt to trailing last twelve month Adjusted EBITDAX declined to 1.1x (Non-GAAP)
Paul Rady, Chairman, Chief Executive Officer and President of Antero Resources commented, "Antero's first quarter results highlight our substantial exposure to rising commodity prices. We realized the highest quarterly NGL price in company history and benefited from direct exposure to NYMEX natural gas prices. During the quarter we sold approximately 75% of our natural gas into NYMEX-priced natural gas hubs, including the LNG fairway along the Gulf Coast and the Cove Point LNG facility in the Mid-Atlantic region. As LNG export demand increases, we are uniquely positioned to benefit from increasing prices due to our 2.3 Bcf/d of firm transportation delivered into these LNG fairways. We are currently selling nearly 1 Bcf/d of natural gas directly to LNG facilities on a mix of long-term and short-term contracts. As this market grows and develops we intend to utilize our significant firm transportation portfolio to increase our exposure."
Michael Kennedy, Chief Financial Officer of Antero Resources said, "We initiated our return of capital program by repurchasing $100 million of AR shares during the last six weeks of the first quarter, which approximated 25% of our first quarter Free Cash Flow estimate. As previously communicated, we expect to use approximately 25% of Free Cash Flow for share repurchases until the borrowings on our credit facility are repaid. Our current estimate forecasts the credit facility to be repaid later in the second quarter and we then intend to increase our return of capital to greater than 50% of Free Cash Flow. Looking ahead, we expect in excess of $2.5 billion of Free Cash Flow in 2022 and approximately $10 billion of Free Cash Flow through 2026, based on current commodity prices. This Free Cash Flow outlook allows us to continue to reduce debt while also returning substantial capital to our shareholders."
For a discussion of the non-GAAP financial measures including Adjusted Net Income, Adjusted EBITDAX, Free Cash Flow and Net Debt please see "Non-GAAP Financial Measures."
Debt Reduction
As of March 31, 2022, Antero's total debt was $1.96 billion, including $388 million of borrowings under the Company's revolving credit facility. Net Debt to trailing twelve month Adjusted EBITDAX was 1.1x. During the first quarter, Antero redeemed all $585 million of outstanding senior notes due 2025 at 101.25% of par, plus accrued and unpaid interest. The Company used cash on hand and borrowings under its revolving credit facility to fund this senior note redemption. Borrowings under the credit facility utilized to fund the redemption are expected to be paid down during the second quarter of 2022 with Free Cash Flow.
Share Repurchase Program
In February, Antero's Board of Directors authorized a share repurchase program for the Company to repurchase up to $1.0 billion of its outstanding common stock. During the first quarter of 2022, Antero repurchased 3.7 million shares for $100 million at an average share price of $27.11.
Free Cash Flow
During the first quarter, Antero generated $465 million of Free Cash Flow before Changes in Working Capital. Free Cash Flow after Changes in Working Capital was $315 million.
First Quarter 2022 Financial Results
Net loss was $156 million, or $0.50 per diluted share, compared to net loss of $15 million, or $0.05 per diluted share, in the prior year period. Adjusted Net Income was $360 million, or $1.15 per diluted share, compared to Adjusted Net Income of $183 million, or $0.62 per diluted share, in the prior year period.
Adjusted EBITDAX was $707 million, a 36% increase compared to the prior year quarter, driven by higher realized natural gas and NGL prices.
Net daily natural gas equivalent production in the first quarter averaged 3.2 Bcfe/d, including 160 MBbl/d of liquids, as detailed in the table below. As completion activity accelerates through the second quarter of 2022, production is expected to increase to a range of 3.3 to 3.4 Bcfe/d in the second half of 2022.
Antero's average realized natural gas price before hedging was $5.01 per Mcf, representing a 44% increase compared to the prior year period. Antero realized a $0.06 per Mcf premium to the average NYMEX Henry Hub. The premium to NYMEX was negatively impacted by the sharp increase in the natural gas price on the final trading day for the February natural gas contract, resulting in a settlement price of $6.27 per Mcf, followed by a subsequent decline in natural gas daily prices for the month. However, Antero expects realized natural gas prices, before hedges, to be a premium of $0.15 to $0.25 per Mcf for the full year 2022, unchanged from prior guidance. Antero's ability to capture a premium to NYMEX is a result of selling the majority of its gas into the NYMEX-based LNG fairways. In the first quarter, Antero sold approximately 75% of its natural gas into these premium priced, NYMEX-related hubs.
The following table details the components of average net production and average realized prices for the three months ended March 31, 2022:
Antero's average realized C3+ NGL price was $61.55 per barrel, a 51% increase versus the prior year period. Antero shipped 53% of its total C3+ NGL net production on Mariner East 2 for export and realized a $0.04 per gallon premium to Mont Belvieu pricing on these volumes at Marcus Hook, PA. Antero sold the remaining 47% of C3+ NGL net production at a $0.04 per gallon discount to Mont Belvieu pricing at Hopedale, OH. The resulting blended price on 107,086 Bbl/d of net C3+ NGL production was $61.14 per barrel, which was flat with Mont Belvieu pricing.
Three Months Ended March 31, 2022
All-in cash expense, which includes lease operating, gathering, compression, processing and transportation, production and ad valorem taxes was $2.33 per Mcfe in the first quarter, a 3% increase compared to $2.26 per Mcfe average during the first quarter of 2021. The increase was due primarily to higher production taxes as a result of higher commodity prices during the quarter.
Net marketing expense was $0.10 per Mcfe in the first quarter, an increase from a gain of $0.01 per Mcfe during the first quarter of 2021. The gain in the year ago period was due to higher third party marketing volumes during Winter Storm Uri.
First Quarter 2022 Operating Update
Antero placed 15 horizontal Marcellus wells to sales during the first quarter with an average lateral length of 12,707 feet. Nine of these wells have been online for at least 60 days and the average 60-day rate per well was 25.5 MMcfe/d, including approximately 1,416 Bbl/d of liquids assuming 25% ethane recovery.
First Quarter 2022 Capital Investment
Antero's accrued drilling and completion capital expenditures for the three months ended March 31, 2022, were $175 million. For a reconciliation of accrued capital expenditures to cash capital expenditures see the table in the Non-GAAP Financial Measures section.
In addition to capital invested in drilling and completion costs, the Company invested $24 million in land during the first quarter. A portion of the land capital was used to acquire 2,500 net acres which hold approximately 11 incremental drilling locations at an average cost of less than $1 million per location. In addition to the incremental locations added, Antero also acquired minerals in its Marcellus area of development to increase its net revenue interest in future drilling locations.
Commodity Derivative Positions
Antero did not enter into any new natural gas, NGL or oil hedges during the first quarter of 2022. As of March 31, 2022, the Company has hedged 313 Bcf of natural gas for the remainder of 2022 at a weighted average index price of $2.49 per MMBtu and 16 Bcf of natural gas in 2023 at a weighted average index price of $2.37 per MMBtu.
Please see Antero's Quarterly Report on Form 10-Q for the quarter ended March 31, 2022, for more information on all commodity derivative positions. For detail on current commodity positions, please see the Hedge Profile presentations at www.anteroresources.com.
Conference Call
A conference call is scheduled on Thursday, April 28, 2022 at 9:00 am MT to discuss the financial and operational results. A brief Q&A session for security analysts will immediately follow the discussion of the results. To participate in the call, dial in at 877-407-9079 (U.S.), or 201-493-6746 (International) and reference "Antero Resources." A telephone replay of the call will be available until Thursday, May 5, 2022 at 9:00 am MT at 877-660-6853 (U.S.) or 201-612-7415 (International) using the conference ID: 13726236. To access the live webcast and view the related earnings conference call presentation, visit Antero's website at www.anteroresources.com. The webcast will be archived for replay until Thursday, May 5, 2022 at 9:00 am MT.
Presentation
An updated presentation will be posted to the Company's website before the conference call. The presentation can be found at www.anteroresources.com on the homepage. Information on the Company's website does not constitute a portion of, and is not incorporated by reference into this press release.
Non-GAAP Financial Measures
Adjusted Net Income
Adjusted Net Income as set forth in this release represents net income (loss), adjusted for certain items. Antero believes that Adjusted Net Income is useful to investors in evaluating operational trends of the Company and its performance relative to other oil and gas producing companies. Adjusted Net Income is not a measure of financial performance under GAAP and should not be considered in isolation or as a substitute for net income as an indicator of financial performance. The GAAP measure most directly comparable to Adjusted Net Income is net income (loss). The following table reconciles net income (loss) to Adjusted Net Income (in thousands):
Net Debt
Net Debt is calculated as total debt less cash and cash equivalents. Management uses Net Debt to evaluate the Company's financial position, including its ability to service its debt obligations.
The following table reconciles consolidated total long-term debt to Net Debt as used in this release (in thousands):
Free Cash Flow
Free Cash Flow is a measure of financial performance not calculated under GAAP and should not be considered in isolation or as a substitute for cash flow from operating, investing, or financing activities, as an indicator of cash flow or as a measure of liquidity. The Company defines Free Cash Flow as net cash provided by operating activities, less net cash used in investing activities, which includes drilling and completion capital and leasehold capital, less proceeds from asset sales and less distributions to non-controlling interests in Martica.
The Company has not provided projected net cash provided by operating activities or a reconciliation of Free Cash Flow to projected net cash provided by operating activities, the most comparable financial measure calculated in accordance with GAAP. The Company is unable to project net cash provided by operating activities for any future period because this metric includes the impact of changes in operating assets and liabilities related to the timing of cash receipts and disbursements that may not relate to the period in which the operating activities occurred. The Company is unable to project these timing differences with any reasonable degree of accuracy without unreasonable efforts.
Free Cash Flow is a useful indicator of the Company's ability to internally fund its activities, service or incur additional debt and estimate return of capital. There are significant limitations to using Free Cash Flow as a measure of performance, including the inability to analyze the effect of certain recurring and non-recurring items that materially affect the Company's net income, the lack of comparability of results of operations of different companies and the different methods of calculating Free Cash Flow reported by different companies. Free Cash Flow does not represent funds available for discretionary use because those funds may be required for debt service, land acquisitions and lease renewals, other capital expenditures, working capital, income taxes, exploration expenses, and other commitments and obligations.
Adjusted EBITDAX
Adjusted EBITDAX is a non-GAAP financial measure that we define as net income (loss), adjusted for certain items detailed below.
Adjusted EBITDAX as used and defined by us, may not be comparable to similarly titled measures employed by other companies and is not a measure of performance calculated in accordance with GAAP. Adjusted EBITDAX should not be considered in isolation or as a substitute for operating income or loss, net income or loss, cash flows provided by operating, investing, and financing activities, or other income or cash flow statement data prepared in accordance with GAAP. Adjusted EBITDAX provides no information regarding our capital structure, borrowings, interest costs, capital expenditures, working capital movement, or tax position. Adjusted EBITDAX does not represent funds available for discretionary use because those funds may be required for debt service, capital expenditures, working capital, income taxes, exploration expenses, and other commitments and obligations. However, our management team believes Adjusted EBITDAX is useful to an investor in evaluating our financial performance because this measure:
- is widely used by investors in the oil and natural gas industry to measure operating performance without regard to items excluded from the calculation of such term, which may vary substantially from company to company depending upon accounting methods and the book value of assets, capital structure and the method by which assets were acquired, among other factors;
- helps investors to more meaningfully evaluate and compare the results of our operations from period to period by removing the effect of our capital and legal structure from our operating structure;
- is used by our management team for various purposes, including as a measure of our operating performance, in presentations to our Board of Directors, and as a basis for strategic planning and forecasting: and
- is used by our Board of Directors as a performance measure in determining executive compensation.
There are significant limitations to using Adjusted EBITDAX as a measure of performance, including the inability to analyze the effects of certain recurring and non-recurring items that materially affect our net income or loss, the lack of comparability of results of operations of different companies, and the different methods of calculating Adjusted EBITDAX reported by different companies.
The GAAP measures most directly comparable to Adjusted EBITDAX are net income (loss) and net cash provided by operating activities. The following table represents a reconciliation of Antero's net income (loss), including noncontrolling interest, to Adjusted EBITDAX and a reconciliation of Antero's Adjusted EBITDAX to net cash provided by operating activities per our consolidated statements of cash flows, in each case, for the three months and years ended March 31, 2021 and 2022. Adjusted EBITDAX also excludes the noncontrolling interests in Martica and these adjustments are disclosed in the table below as Martica related adjustments.
Drilling and Completion Capital Expenditures
For a reconciliation between cash paid for drilling and completion capital expenditures and drilling and completion accrued capital expenditures during the period, please see the capital expenditures section below (in thousands):
Notwithstanding their use for comparative purposes, the Company's non-GAAP financial measures may not be comparable to similarly titled measures employed by other companies.
Antero Resources is an independent natural gas and natural gas liquids company engaged in the acquisition, development and production of unconventional properties located in the Appalachian Basin in West Virginia and Ohio. In conjunction with its affiliate, Antero Midstream (NYSE: AM), Antero is one of the most integrated natural gas producers in the U.S. The Company's website is located at www.anteroresources.com.
This release includes "forward-looking statements." Such forward-looking statements are subject to a number of risks and uncertainties, many of which are not under Antero Resources' control. All statements, except for statements of historical fact, made in this release regarding activities, events or developments Antero Resources expects, believes or anticipates will or may occur in the future, such as those regarding our return of capital, expected results, future commodity prices, future production targets, realizing potential future fee rebates or reductions, including those related to certain levels of production, future earnings, leverage targets and debt repayment, future capital spending plans, improved and/or increasing capital efficiency, estimated realized natural gas, NGL and oil prices, expected drilling and development plans, projected well costs and cost savings initiatives, future financial position, the participation level of our drilling partner and the financial and production results to be achieved as a result of that drilling partnership, the other key assumptions underlying our projections, and future marketing opportunities, are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All forward-looking statements speak only as of the date of this release. Although Antero Resources believes that the plans, intentions and expectations reflected in or suggested by the forward-looking statements are reasonable, there is no assurance that these plans, intentions or expectations will be achieved. Therefore, actual outcomes and results could materially differ from what is expressed, implied or forecast in such statements. Except as required by law, Antero Resources expressly disclaims any obligation to and does not intend to publicly update or revise any forward-looking statements.
Antero Resources cautions you that these forward-looking statements are subject to all of the risks and uncertainties, incident to the exploration for and development, production, gathering and sale of natural gas, NGLs and oil most of which are difficult to predict and many of which are beyond the Antero Resources' control. These risks include, but are not limited to, commodity price volatility, inflation, lack of availability of drilling and production equipment and services, environmental risks, drilling and other operating risks, regulatory changes, the uncertainty inherent in estimating natural gas and oil reserves and in projecting future rates of production, cash flow and access to capital, the timing of development expenditures, impacts of world health event, including the COVID-19 pandemic, cybersecurity risks, our ability to achieve our greenhouse gas reduction targets and the costs associated therewith, the state of markets for and availability of verified quality carbon offsets and the other risks described under the heading "Item 1A. Risk Factors" in Antero Resources' Quarterly Report on Form 10-Q for the quarter ended March 31, 2022.
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Experienced biotech CEO will advance novel neural exosome to the clinic for neuro-inflammatory and neuro-degenerative diseases
ATHENS, Ga. and CAMBRIDGE, Mass., April 27, 2022 /PRNewswire/ -- Aruna Bio, a leader in the development of neural exosomes for the treatment of neuro-inflammatory and neurodegenerative diseases, today announced the appointment of Stephen From as Chief Executive Officer (CEO). Mr. From succeeds Skip Irving who served as interim CEO and who will continue to serve on the Aruna Bio Board of Directors.
"I am very excited to welcome Stephen From as our next CEO. Stephen brings to Aruna extensive experience in building biopharma companies, establishing collaborations and advancing promising products from the research stage and into the clinic," said Mr. Bill Griffin, Chairman of the Aruna Bio Board of Directors. "Having established the unique therapeutic activity of our neural stem cell-derived exosomes, Stephen is the perfect person to exploit these therapeutic properties and guide the development of innovative products for patients with CNS disorders."
"The inherent ability of NEUR-EX neural exosomes to reduce neuro-inflammation, provide neuro-protection and stimulate neuro-regeneration when administered portends a valuable therapeutic role in a potentially wide range of inflammatory and degenerative diseases in the brain," said Mr. From. "Aruna Bio's top priority moving forward is to complete IND enabling studies and file the first ever IND for neural exosomes and establish clinical safety and potentially proof-of-concept for a CNS condition. I look forward to working with Dr. Steven Stice and the Aruna Bio team to achieve this objective."
Prior to joining Aruna Bio, Mr. From served as CEO and Chairman of EyeGate Pharmaceuticals, where he led the company from an early technology platform to a publicly financed product development company. He has experience in drug delivery, clinical development, and working with the FDA. Prior to EyeGate, he worked in investment banking for Bank of America and Robertson Stephens.
"The Aruna Bio Board of Directors would also like to thank Dr. Mark Sirgo for his leadership of the company over the last three years," said Skip Irving, Interim CEO and Director. "Mark provided valuable leadership to the company during his tenure."
Exosomes are naturally derived particles involved in the essential communication between different cells in the body. Dr. Steven Stice, a leading expert in stem cells, is Professor and Director of the University of Georgia's Regenerative Bioscience Center and discovered the neural stem cell platform and the highly-differentiated properties of these neural exosomes. As Founder and Chief Scientific Officer at Aruna Bio, Dr. Stice and his team have further elucidated and proven the inherent therapeutic properties of neural-derived exosomes, their ability to cross the blood-brain-barrier and to incorporate other therapeutic moieties such as proteins and oligonucleotides.
Aruna Bio is a leader in the development of neural exosomes for the treatment of neuro-inflammatory and neurodegenerative diseases. A spin-out of the University of Georgia and privately financed, the company recently commissioned a state-of-the-art GMP manufacturing facility to ensure product consistency. The company is rapidly advancing its proprietary NEUR-EX neural stem cell-derived exosome platform to an IND and first-in-man clinical studies in selective CNS therapeutic development programs. The company intends to pursue, selective CNS programs by leveraging the special properties inherent in neural exosomes, as the exosome alone or in combination with other therapeutic moieties.
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SOURCE Aruna Bio, Inc. | https://www.whsv.com/prnewswire/2022/04/27/aruna-bio-appoints-stephen-chief-executive-officer/ | 2022-04-27T20:52:06Z |
37% revenue growth signals strong start to the year;
Aspen presented with Overdrive Award at GM's 30th Supplier of the Year ceremony;
Closed $150.0 million financing from Koch Strategic Platforms
NORTHBOROUGH, Mass., April 27, 2022 /PRNewswire/ -- Aspen Aerogels, Inc. (NYSE: ASPN) ("Aspen" "the Company"), a technology leader in sustainability and electrification solutions, today announced financial results for the first quarter of 2022, which ended March 31, 2022, and discussed recent business developments.
Total revenue for the first quarter 2022 was $38.4 million, compared to $28.1 million in the first quarter last year. First quarter 2022 net loss was $19.5 million, compared to a net loss of $6.3 million in the first quarter last year. Net loss per share for the first quarter 2022 was $0.59, compared to a net loss per share of $0.22 in the first quarter last year.
Adjusted EBITDA for the first quarter 2022 was $(14.7) million, compared to $(2.6) million in the first quarter last year. A reconciliation of non-GAAP Adjusted EBITDA to net loss is provided in the financial schedules that are part of this press release. An explanation of this non-GAAP financial measure is also included below under the heading "Non-GAAP Financial Measures."
Q1 2022 Highlights and Recent Business Developments
- Total first quarter 2022 revenue of $38.4 million grew 37% year-over-year.
- First quarter PyroThin® thermal barrier record revenue of $7.6 million increased 41% compared to the fourth quarter 2021.
- Strengthened balance sheet with financing from Koch Strategic Platforms ("KSP") comprised of $100.0 million convertible notes and $50.0 million common stock equity.
- Raised $23.6 million through the At-the-Market ("ATM") equity offering, which went into effect March 16, 2022.
- Broke ground at the Company's second aerogel manufacturing plant ("Plant II"). The Statesboro, Georgia advanced aerogel manufacturing facility supports Aspen's thermal barrier expansion plan in the fast-growing electric vehicle ("EV") market.
- Received Overdrive Award as part of GM's 30th Annual Supplier of the Year awards (for Launch Excellence recognizing Aspen's key role in GM's Ultium battery platform thermal propagation strategy).
"Aspen is off to a strong start for the year," commented Don Young, Aspen's President and CEO. "Total first quarter revenue grew 37% year-over-year and 22% sequentially, reflecting continued penetration in the EV market and healthy energy industrial growth." Mr. Young added, "We significantly strengthened Aspen's balance sheet during the quarter, with financings comprised of a $150.0 million follow-on investment from KSP and $23.6 million raised through our ATM equity offering. These investments increase the financial resources we have available to capitalize on significant opportunities in our commercial markets and give us improved flexibility with regard to the timing of future capital raises to support our planned growth. We will maintain a multi-faceted efficient approach to raising capital, including the potential utilization of public offerings, strategic financings, government supported financing vehicles, and debt, where appropriate."
2022 Financial Outlook
Aspen's 2022 full year outlook remains unchanged.
- Total revenue is expected to range between $145.0 million and $155.0 million
- Net loss is expected to range between $66.7 million and $70.7 million
- Adjusted EBITDA is expected to range between $(42.0) million and $(46.0) million
- Net loss per share is expected to range between $1.88 and $1.99
The Company's 2022 outlook assumes depreciation and amortization of $9.7 million, stock-based compensation expense of $8.2 million, interest expense of $6.8 million and weighted average shares outstanding of 34.2 million for the full year.
Mr. Young noted, "Our growth targets remain unchanged for a doubling of revenue from 2021 to 2023 and tripling revenue from 2023 to 2025 to approximately $720 million. We are increasing our investment levels throughout the year to keep pace with the size and intensity of growth within our PyroThin thermal barrier business. These investments are focusing on Plant II; a high-volume fabrication operation in Mexico; and enhancing the technical, commercial and operational teams that support our thermal barrier business. Leveraging higher volumes, coupled with the impact of these investments, advances our path to profitability and sets the stage for strong revenue and profit growth through the decade."
A reconciliation of non-GAAP Adjusted EBITDA to net loss for the 2022 financial outlook is provided in the financial schedules that are part of this press release. An explanation of this non-GAAP financial measure is also included below under the heading "Non-GAAP Financial Measures."
Aspen Aerogels may incur charges, realize gains or losses, incur financing costs or interest expense, or experience other events in 2022, including those related to the planned capacity expansion, that could cause actual results to vary materially from this outlook.
Conference Call Notification
A conference call with Aspen management to discuss first quarter 2022 results and recent business developments will be held at 8:30 am ET on April 28, 2022. During the call, management will respond to questions concerning, but not limited to, Aspen's financial performance, business conditions, and financial outlook. Management's discussion and responses could contain information that has not been previously disclosed. Shareholders and other interested parties may call (844) 200-6205 (domestic) or (929) 526-1599 (international) and reference conference ID "313156" to participate in the conference call. In addition, the conference call and an accompanying slide presentation will be available live as a listen-only webcast hosted at the Investors section of Aspen's website, www.aerogel.com. Following the live event, an archived version of the webcast will be available on Aspen's website for convenient on-demand replay for at least a year. A copy of this press release is posted in the Investors section on Aspen's website.
Non-GAAP Financial Measures
In addition to providing financial measurements based on generally accepted accounting principles in the United States of America ("GAAP"), Aspen provides additional financial metrics that are not prepared in accordance with GAAP ("non-GAAP"). The non-GAAP financial measure included in this press release is Adjusted EBITDA. Management uses non-GAAP financial measures, in addition to GAAP financial measures, as a measure of operating performance because the non-GAAP financial measures do not include the impact of items that management does not consider indicative of Aspen's core operating performance. In addition, management uses Adjusted EBITDA (i) for planning purposes, including the preparation of Aspen's annual operating budget, (ii) to allocate resources to enhance the financial performance of its business, and (iii) as a performance measure under its bonus plan.
Management believes that these non-GAAP financial measures reflect Aspen's ongoing business in a manner that allows for meaningful comparisons and analysis of trends in its business, as they exclude expenses and gains not reflective of Aspen's ongoing operating results or that may be infrequent and/or unusual in nature. Management also believes that these non-GAAP financial measures provide useful information to investors in understanding and evaluating Aspen's operating results and future prospects in the same manner as management and in comparing financial results across accounting periods and to those of peer companies. These non-GAAP measures may not be comparable to similarly titled measures presented by other companies.
The non-GAAP financial measures do not replace the presentation of Aspen's GAAP financial results and should only be used as a supplement to, not as a substitute for, Aspen's financial results presented in accordance with GAAP. In this press release, Aspen has provided a reconciliation of Adjusted EBITDA to net loss, the most directly comparable GAAP financial measure. Management strongly encourages investors to review Aspen's financial statements and publicly-filed reports in their entirety and not rely on any single financial measure.
About Aspen Aerogels, Inc.
Aspen is a technology leader in sustainability. The company's aerogel technology enables its customers and partners to achieve their own objectives around the global megatrends of resource efficiency, e-mobility and clean energy. Aspen's PyroThin® products enable solutions to thermal runaway challenges within the electric vehicle market. The company's carbon aerogel program seeks to increase the performance of lithium-ion battery cells to enable EV manufacturers to extend the driving range and reduce the cost of electric vehicles. Aspen's Spaceloft® products provide building owners with industry-leading energy efficiency and fire safety. The company's Cryogel® and Pyrogel® products are valued by the world's largest energy infrastructure companies. Aspen's strategy is to partner with world-class industry leaders to leverage its Aerogel Technology Platform™ into additional high-value markets. Headquartered in Northborough, Mass., Aspen manufactures its products at its East Providence, R.I. facilities. For more information, please visit www.aerogel.com.
Special Note Regarding Forward-Looking and Cautionary Statements
This press release and any related discussion contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties that could cause actual results to be materially different from historical results or from any future results expressed or implied by such forward-looking statements, including statements relating to Aspen's 2022 financial outlook. These statements are not historical facts but rather are based on Aspen's current expectations, estimates and projections regarding Aspen's business, operations and other factors relating thereto, including with respect to Aspen's 2022 financial outlook. Words such as "may," "will," "could," "would," "should," "anticipate," "predict," "potential," "continue," "expects," "intends," "plans," "projects," "believes," "estimates," "outlook," "assumes," "targets," "opportunity," and similar expressions are used to identify these forward-looking statements. Such forward-looking statements include statements regarding, among other things, Aspen's expectations about capacity, revenue, backlog, costs, expenses, profitability, cash flow, gross profit, gross margin, operating margin, net loss, Adjusted EBITDA, Adjusted EBITDA margin and related decreases, improvements, timing, variability or trends; beliefs about the general strength, weakness or health of Aspen's business; beliefs about current or future trends in the energy, energy infrastructure, chemical and refinery, LNG, sustainable building materials, EV thermal barrier, EV battery materials or other markets and the impact of these trends on Aspen's business; beliefs about the strength, effectiveness, productivity, costs, profitability or other fundamentals of Aspen's business; beliefs about the COVID-19 pandemic and its impact on Aspen's operating performance; beliefs about Aspen's strategic initiatives and implementation; beliefs about Aspen's investments in the electric vehicle market and aerogel technology platform; beliefs about the potential to develop new business opportunities from the innovation behind Aspen's Aerogel Technology Platform™; beliefs about the commercial potential of new aerogel products, technologies, businesses and partnerships; beliefs about the role of Aspen's technology and opportunities in the electric vehicle market; beliefs about Aspen's ability to provide and deliver products and services to electric vehicle customers; beliefs about content per vehicle, revenue, costs, expenses, profitability, investments or cash flow associated with Aspen's electric vehicle opportunities, including the EV thermal barrier business; beliefs about doubling EV thermal barrier revenue in 2023 and tripling EV thermal barrier revenue in 2025, beliefs about the revenue growth through the decade, beliefs about the performance of PyroThin® including its ability to mitigate the propagation of thermal runaway in electric vehicles; beliefs about Aspen's ability to expand the market for PyroThin, to achieve design wins, to commence shipments of production parts, and to become an industry standard solution for thermal runaway management; beliefs about Aspen's thermal barrier design, prototype, quoting and fabrication activities; beliefs about Aspen's ability to deliver broader solutions to enhance electric vehicle battery performance and safety; beliefs about Aspen's ability to develop and commercialize carbon aerogel battery materials in the lithium-ion or solid state battery markets; beliefs about Aspen's automated thermal barrier fabrication capability; beliefs about the expansion of Aspen's silica aerogel blanket manufacturing capacity in Bulloch County, Georgia, or any other location, including the timing, size, cost, capacity, job creation and operating benefits of any such expansion; beliefs about the construction of Aspen's Advanced Thermal Barrier Center; beliefs about the fabrication operations in Mexico, including timing and scope, beliefs about the expansion of Aspen's battery materials facilities or carbon aerogel capacity; beliefs about the potential of Aspen Battery Materials business, beliefs about the sufficiency of Aspen's financial resources and liquidity; beliefs about the KSP convertible note or equity financings; beliefs about Aspen's ability to timely raise the capital required to fund operating requirements, expansions of manufacturing or fabrication capacity; beliefs about Aspen's ability to execute its strategy; future operating performance on an annual or other basis; and accounting and other assumptions involved in arriving at the expectations. All such forward-looking statements are based on management's present expectations and are subject to certain factors, risks and uncertainties that may cause actual results, outcome of events, timing and performance to differ materially from those expressed or implied by such statements. These risks and uncertainties include, but are not limited to, the following: an inability to create new product, partnership and market opportunities; any sustained downturn in the energy industry or energy prices; any sustained downturn in the energy, energy infrastructure, chemical and refinery, LNG, sustainable building materials, EV thermal barrier, EV battery materials or other markets due to the coronavirus pandemic, COVID-19 or any other factor; any failure to sustain project-based demand in the subsea, LNG, on-shore or other markets; the right of EV thermal barrier customers to cancel contracts with Aspen at any time and without penalty; any costs, expenses, or investments incurred by Aspen in excess of projections used to develop pricing under the contracts with EV thermal barrier customers; any failure of Aspen or PyroThin to meet contractual specifications and requirements under contracts with EV thermal barrier customers; Aspen's inability to create new product, customer or market opportunities, including for PyroThin, battery performance and safety products, battery materials or for other new products developed from Aspen's aerogel technology; any disruption or inability to achieve expected capacity levels in any of our three existing production lines in East Providence, RI or the manufacturing facility in which they are located, including due to the coronavirus pandemic, COVID-19 or any other factor; any inability to expand manufacturing capacity in a second manufacturing facility in Bulloch County, Georgia or at any other location; any inability to establish or timely establish thermal barrier fabrication operations in Mexico or any other location; the failure to receive all regulatory or other approvals required to operate, maintain or expand any of Aspen's facilities; any failure of demand for Aspen's products; any failure to achieve expected price increases or average selling prices for Aspen's products; any significant increase in the cost of raw materials, utilities or any other manufacturing consumable; shortages of raw materials, utilities or any other manufacturing consumable due to the coronavirus pandemic, COVID-19 or any other factor; the failure to generate sufficient operating cash flow or to obtain significant additional capital to pursue Aspen's strategy; the failure of Aspen's products to become widely adopted; the competition Aspen faces in its business; any failure to enforce any of Aspen's patents; any failure to protect or expand Aspen's aerogel technology platform; any future finding of invalidity of any patent in any jurisdiction; any failure to generate sufficient operating cash flow or to obtain sufficient additional capital to continue to pursue Aspen's new business, technology, patent enforcement, or patent defense strategy; any failure of Aspen's products to meet applicable specifications and other performance, safety, technical and delivery requirements; the general economic conditions and cyclical demands in the markets that Aspen serves; the economic, operational and political risks associated with sales and expansion of operations in foreign countries including Mexico; the loss of any direct customer, including distributors, contractors and OEMs; compliance with health and safety laws and regulations; the maintenance and development of distribution channels; and the other risk factors discussed under the heading "Risk Factors" in our Annual Report on Form 10-K for the year ended December 31, 2021 and filed with the Securities and Exchange Commission ("SEC") on March 1, 2022, as well as any updates to those risk factors filed from time to time in our subsequent periodic and current reports filed with the SEC. All statements contained in this press release are made only as of the date of this press release. Aspen does not intend to update this information unless required by law.
Square Foot Operating Metric
We price our product and measure our product shipments in square feet.
Reconciliation of Non-GAAP Financial Measures
The following tables presents a reconciliation of the non-GAAP financial measure included in this press release to the most directly comparable GAAP measure:
Reconciliation of Adjusted EBITDA to Net Income (Loss)
We define Adjusted EBITDA as net income (loss) before interest expense, taxes, depreciation, amortization, stock-based compensation expense and other items, which occur from time to time and which we do not believe are indicative of our core operating performance.
For the three months ended March 31, 2022:
For the 2022 full year financial outlook:
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TUCSON, Ariz., April 27, 2022 /PRNewswire/ -- AudioEye, Inc. (NASDAQ: AEYE), the industry-leading digital accessibility platform delivering website accessibility compliance to businesses of all sizes, will hold a conference call on Thursday, May 5, 2022 at 4:30 p.m. Eastern time to discuss its financial results for the first quarter ended March 31, 2022. Financial results will be issued in a press release prior to the call.
AudioEye management will host the conference call, followed by a question and answer period.
Date: Thursday, May 5, 2022
Time: 4:30 p.m. Eastern time (1:30 p.m. Pacific time)
U.S. dial-in number: 877-545-0320
International number: 973-528-0002
Access code: 278583
Please call the conference telephone number 5-10 minutes prior to the start time. An operator will register your name and organization. If you have any difficulty connecting with the conference call, please contact Gateway Investor Relations at 949-574-3860.
The conference call will also be webcast live and available for replay, which will be accessible via the investor relations section of the company's website. The audio recording will remain available via the investor relations section of the company's website for 90 days.
A telephonic replay of the conference call will also be available after 7:30 p.m. Eastern time on the same day through May 19, 2022.
Toll-free replay number: 877-481-4010
International replay number: 919-882-2331
Replay passcode: 45396
About AudioEye, Inc.
AudioEye is an industry-leading digital accessibility platform delivering ADA and WCAG compliance at scale. By combining easy-to-use technology and subject matter expertise, AudioEye helps companies and content creators solve every aspect of web accessibility — from finding and resolving issues to navigating legal compliance, to ongoing monitoring and upkeep. Trusted by the FCC, ADP, SSA, Samsung, and others, AudioEye delivers automated remediations and continuous monitoring for accessibility issues without making fundamental changes to website architecture, source code, or browser-based tools. Join us on our mission to eradicate barriers to digital access, visit www.audioeye.com.
Corporate Contact:
AudioEye, Inc.
Dr. Carr Bettis, Executive Chairman
cbettis@audioeye.com
Investor Contact:
Matt Glover or Tom Colton
Gateway Investor Relations
AEYE@gatewayir.com
949-574-3860
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SOURCE AudioEye, Inc. | https://www.whsv.com/prnewswire/2022/04/27/audioeye-sets-first-quarter-2022-earnings-call/ | 2022-04-27T20:52:23Z |
CHARLOTTE, N.C., April 27, 2022 /PRNewswire/ -- Bank of America Corporation today announced the Board of Directors declared a regular quarterly cash dividend on Bank of America common stock of $0.21 per share, payable on June 24, 2022 to shareholders of record as of June 3, 2022.
The Board also declared a regular quarterly cash dividend of $1.75 per share on the 7% Cumulative Redeemable Preferred Stock, Series B. The dividend is payable on July 25, 2022 to shareholders of record as of July 8, 2022.
Bank of America
Bank of America is one of the world's leading financial institutions, serving individual consumers, small and middle-market businesses and large corporations with a full range of banking, investing, asset management and other financial and risk management products and services. The company provides unmatched convenience in the United States, serving approximately 67 million consumer and small business clients with approximately 4,100 retail financial centers, approximately 16,000 ATMs, and award-winning digital banking with approximately 54 million verified digital users. Bank of America is a global leader in wealth management, corporate and investment banking and trading across a broad range of asset classes, serving corporations, governments, institutions and individuals around the world. Bank of America offers industry-leading support to approximately 3 million small business households through a suite of innovative, easy-to-use online products and services. The company serves clients through operations across the United States, its territories and approximately 35 countries. Bank of America Corporation stock (NYSE: BAC) is listed on the New York Stock Exchange.
For more Bank of America news, including dividend announcements and other important information, visit the Bank of America newsroom and register for email news alerts.
Investors May Contact:
Lee McEntire, Bank of America
Phone: 1.980.388.6780
lee.mcentire@bofa.com
Jonathan G. Blum, Bank of America (Fixed Income)
Phone: 1.212.449.3112
jonathan.blum@bofa.com
Reporters May Contact:
Christopher P. Feeney, Bank of America
Phone: 1.980.386.6794
christopher.feeney@bofa.com
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SOURCE Bank of America Corporation | https://www.whsv.com/prnewswire/2022/04/27/bank-america-declares-second-quarter-2022-stock-dividends/ | 2022-04-27T20:52:35Z |
Discord channel is home to regular updates on the BIG3's upcoming groundbreaking ownership NFT drop
LOS ANGELES, April 27, 2022 /PRNewswire/ -- Today, the BIG3 surpassed 100,000 followers in its ownership Discord channel in seven days as the league's upcoming innovative NFT drop has uniquely connected with fans.
This month, the BIG3 announced the league will be creating a new model of ownership by leveraging blockchain technology to sell NFTs that represent ownership-like value in its twelve teams. Fans will have two tier options comprised of 12,000 editions – 1,000 for each team that includes 25 Fire priced at $25,000 each and 975 Gold priced at $5,000 each. Just seven days ago, a chat was created on Discord, a digital distribution platform that creates communities around ideas, and the public support surrounding team ownership has grown greatly.
"The support and interest from the fans and the public has been tremendous and momentum is continuing to build," said BIG3 co-founder, Jeff Kwatinetz. "Fans and investors have been blown away by the utilities we are offering, and we can't wait to officially drop this. We know it will take the league to the next level and create an even further sense of community among our fans and league."
BIG3 is the official creator of the new global sport, FIREBALL3, the league is returning for its fifth season on June 18 with coverage live across CBS and Paramount+. Known as a groundbreaking league that focuses on innovation, the BIG3's 2021 season saw notable new changes and experiences, including the addition of the "Bring the Fire" rule allowing teams one challenge per half determined by an in-game one-on-one.
To join the Discord, click here. More information regarding team ownership stakes will be available shortly. To learn more about the BIG3 and to sign up for more information about participating in the ownership sale, go to BIG3.com and follow @thebig3 on twitter and instagram.
BIG3 (BIG3.com) is who we are, FIREBALL3 is what we play. It's not your grandfather's 3-on-3. The premier global BIG3 league features many of the greatest, most popular and skilled professional athletes of all time. Founded by producer, actor and music legend Ice Cube and entertainment executive Jeff Kwatinetz, the BIG3 combines highly competitive, physical, fast game experiences and incredible fan experiences.
CONTACT:
Jeremy Watkins
jwatkins@hstrategies.com
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SOURCE BIG3 | https://www.whsv.com/prnewswire/2022/04/27/big3-reaches-100000-followers-ownership-discord-only-7-days/ | 2022-04-27T20:52:42Z |
- BioMarin Reports Record First Quarter Total Revenues of $519 Million Driven by a $20 Million VOXZOGO Contribution; Total Revenues Grew 11% Year-over-Year, Excluding Kuvan
- Full-year 2022 Financial Guidance for Voxzogo Net Product Revenues Increased to between $100 Million to $125 Million; Remaining Guidance Reaffirmed
- Valoctocogene Roxaparvovec for the Treatment of Severe Hemophilia A Under Review in Europe with Committee for Medicinal Products for Human Use (CHMP) Opinion Anticipated Mid-year 2022; Re-submission of the Biologics License Application (BLA) in the U.S. Planned in June
- Genomic Analysis Complete from Phase 2 Subject Treated with Valoctocogene Roxaparvovec in 2016; Findings do not Identify a Contribution from Vector Integration to the Previously Announced Adverse Event
SAN RAFAEL, Calif., April 27, 2022 /PRNewswire/ -- BioMarin Pharmaceutical Inc. (NASDAQ: BMRN) (BioMarin or the Company) today announced financial results for the first quarter ended March 31, 2022.
"We begin 2022 from a position of financial strength including significant contributions from our newest product, Voxzogo, the only approved therapy for children with achondroplasia. We continue to be encouraged by the high level of interest in Voxzogo from families and physicians worldwide seeking treatment that addresses the underlying cause of achondroplasia," said Jean-Jacques Bienaimé, Chairman and Chief Executive Officer of BioMarin. "As we stated last quarter, in 2022 we expect to return to double-digit revenue growth and profitability. We begin the journey with record first quarter revenues, and foresee continued momentum based on the essential nature of our innovative medicines for our patients around the world."
Mr. Bienaimé continued, "The regulatory team has been working collaboratively with the European Medicines Agency as we near the completion of the application review procedure for potential approval of valoctocogene roxaparvovec gene therapy for the treatment of severe hemophilia A. We remain encouraged by the potential benefit of valoctocogene roxaparvovec for people with severe hemophilia A based on the clinically meaningful study results to date. These demonstrate an 85% reduction in annualized bleeding rates compared to baseline using standard of care. With potential approvals of valoctocogene roxaparvovec in Europe and United States, the continued strong launch of Voxzogo and our anticipated transition to sustainable profitability, we believe 2022 will be a transformational year for all BioMarin stakeholders."
Financial Highlights:
- Total Revenues for the first quarter of 2022 were $519.4 million, an increase of 7% compared to the same period in 2021 despite continued erosion of the U.S. Kuvan market. The increase in Total Revenues was primarily attributed to the following:
These factors were offset by the following:
- GAAP Net Income increased to $120.8 million for the first quarter of 2022 compared to GAAP Net Income of $17.4 million for the same period in 2021. The increase was primarily related to the $89.0 million gain, net of tax, on the sale to a third party of the Rare Pediatric Disease Priority Review Voucher (PRV) we received from the FDA in connection with the U.S. approval of Voxzogo and an increase in gross profit.
- Non-GAAP Income for the first quarter of 2022 was $105.3 million, essentially flat compared to the same period in 2021. The increase in gross profit was offset by higher sales and marketing expenses to support the commercial launch of Voxzogo and pre-commercialization activities for valoctocogene roxaparvovec and higher research and development expenses driven by the ramp up of activities for early research programs.
Late-stage Regulatory Portfolio (Voxzogo and valoctocogene roxaparvovec)
- The global launch of Voxzogo is actively underway, with market access and reimbursement progressing as anticipated. As of March 31, 2022, an estimated 284 children were being treated with commercial Voxzogo globally, 201 from countries outside the United States and 83 within the United States. As of March 31, 2022, there were 15 active markets contributing to Voxzogo sales, including the addition of Saudi Arabia, Slovenia, the Czech Republic, United Arab Emirates and Italy, since the February 2022 update.
- Marketing authorization reviews of Voxzogo are in process in Japan and Australia, with potential approvals in those countries in 2022.
- During the quarter, the Company provided a top-line update on the Phase 2 randomized, double-blind, placebo-controlled Voxzogo study in infants and young children up to five years of age with achondroplasia. 52-week results trended in favor of Voxzogo compared to placebo on height Z-score, annualized growth velocity, and with no worsening in proportionality in the overall study population. BioMarin intends to initiate discussions with regulatory health authorities to discuss next steps regarding efforts to expand access to Voxzogo treatment for this younger age group. Results from this study are expected to be shared at a scientific meeting mid-year 2022.
- The EMA continues the review of BioMarin's Marketing Authorization Application (MAA) for valoctocogene roxaparvovec and we anticipate a CHMP opinion mid-year 2022. BioMarin has provided the EMA with two-year follow-up safety and efficacy data from the GENEr8-1 study.
- Based on the favorable results from the two-year follow-up safety and efficacy data from the GENEr8-1 study, BioMarin is targeting a BLA resubmission for valoctocogene roxaparvovec in June 2022 followed by an expected 6-month review procedure by the FDA. A pre-submission interaction is scheduled with the FDA later this quarter to discuss BioMarin's BLA resubmission efforts.
- During the first quarter of 2022, the Company announced that a subject treated with valoctocogene roxaparvovec in the Phase 2 study over 5 years ago reported a salivary gland mass in late 2021. The event was reported as unrelated to valoctocogene roxaparvovec by the investigator. The subject was successfully treated, and the Company conducted a genomic analysis from a tissue sample containing the mass. Today, BioMarin announced that the findings from the completed analysis showed a comparable pattern of integration between healthy and tumor containing tissues, with no evidence emerging that vector integration contributed to the salivary gland mass. These data will be presented both in a workshop of the annual American Society of Gene & Cell Therapy meeting and the World Federation of Hemophilia 2022 World Congress in May, supplied to the EMA as part of the ongoing review of the MAA and included in the BLA resubmission.
Earlier-stage Development Portfolio (BMN 255, BMN 331, BMN 351, BMN 349, BMN 293 (DiNA-001))
- BMN 255 for primary hyperoxaluria type 1, a subset of chronic renal disease: The Company has completed the single ascending dose arm of the First-in-Human study and is analyzing the results. BioMarin believes the availability of a potent, orally bioavailable, small molecule like BMN 255 may be able to significantly reduce disease and treatment burden in certain people with chronic renal disease.
- BMN 331 gene therapy product candidate for Hereditary Angioedema (HAE): The Company announced that it has begun dosing patients in the Phase 1/2 HAERMONY study to evaluate BMN 331, an investigational AAV5-mediated gene therapy for people living with hereditary angioedema (HAE). The FDA granted Orphan Disease Designation status to BMN 331 in 2021.
- BMN 351 for Duchenne Muscular Dystrophy (DMD): IND-enabling studies continue with BMN 351, an antisense oligonucleotide therapy for individuals with exon 51-skip-amenable DMD. BMN 351 was developed using familiar chemistry and superior biology, by targeting a novel, upstream, splice enhancer site demonstrating improved binding affinity and tolerability in preclinical models. Preclinical data suggest that restored expression of near-full-length dystrophin protein at levels of up to 40% will convert phenotypes from rapid loss to durable preservation of strength and ambulation. BioMarin expects to file an IND for BMN 351 in the first half of 2022, and anticipates treating clinical trial participants with Duchenne muscular dystrophy in the fourth quarter of 2022.
- BMN 349 for alpha-1 antitrypsin deficiency: Preclinical studies have demonstrated that BMN 349 is an orally bioavailable, small molecule that is titratable with rapid onset and high potency and efficacy. Preclinical results have strong implications for potential improvement of current management, particularly for severe liver disease requiring rapid action. BioMarin's goal is to file the IND in the second half of 2023.
- BMN 293 (formerly DiNA-001) for MYBPC3 hypertrophic cardiomyopathy (HCM): Preclinical studies are underway with BMN 293 following a collaboration announced in 2020 with DiNAQOR, a gene therapy platform company, to develop novel gene therapies to treat rare genetic cardiomyopathies. Mutations in MYBPC3 are the most common cause of inherited HCM. Early investigations suggest that gene therapy-mediated gene transfer can lead to widespread expression of the gene product, cardiac myosin-binding protein C (MyBP-C), in cardiac tissue, which can normalize relaxation kinetics and potentially ameliorate the disease phenotype in individuals suffering from cardiomyopathy. BioMarin's goal is to file the IND in 2023.
BioMarin will host a conference call and webcast to discuss first quarter and year to date 2022 financial results today, Wednesday, April 27, 2022 at 4:30 p.m. ET. This event can be accessed on the investor section of the BioMarin website at www.biomarin.com.
About BioMarin
BioMarin is a global biotechnology company that develops and commercializes innovative therapies for people with serious and life-threatening rare diseases and medical conditions. The Company selects product candidates for diseases and conditions that represent a significant unmet medical need, have well-understood biology and provide an opportunity to be first-to-market or offer a significant benefit over existing products. The Company's portfolio consists of seven commercial products and multiple clinical and preclinical product candidates for the treatment of various diseases. For additional information, please visit www.biomarin.com.
Forward-Looking Statements
This press release and the associated conference call and webcast contain forward-looking statements about the business prospects of BioMarin Pharmaceutical Inc. (BioMarin), including, without limitation, statements about: the expectations of Total Revenues, Net Product Revenues, Research and Development Expense, Selling, General and Administrative Expense, Cost of Sales, GAAP Net Loss, Non-GAAP Income, and other specified income statement guidance for the full-year 2022; cash flows from operating activities; the timing of orders for commercial products; the timing of BioMarin's clinical development and commercial prospects, including announcements of data from clinical studies and trials; the clinical development and commercialization of BioMarin's product candidates and commercial products, including (i) BioMarin's plans to re-submit a BLA for valoctocogene roxaparvovec to the FDA with two-year follow-up results from all the subjects from the Phase 3 GENEr8-1 study in June 2022, (ii) BioMarin's anticipated IND submission for BMN 351 in the first half of 2022, (iii) BioMarin's anticipated treatment of clinical trial participants with Duchenne muscular dystrophy in the fourth quarter of 2022, (iv) BioMarin's anticipated IND submission for BMN 349 in the second half of 2023, (v) BioMarin's collaboration with DiNAQOR to create gene therapies including BioMarin's goal to file an IND for BMN 293 (formerly DiNA-001) in 2023, and (vi) BioMarin's plans to initiate discussions with regulatory health authorities to discuss next steps regarding efforts to expand access to Voxzogo for infants and young children up to five years of age with achondroplasia; the potential approval and commercialization of BioMarin's product candidates, including Voxzogo for the treatment of achondroplasia and valoctocogene roxaparvovec for the treatment of severe hemophilia A and the timing of such approval decisions, including (i) the potential approval of Voxzogo in Japan and Australia in 2022, (ii) the BLA resubmission for valoctocogene roxaparvovec and the expectation of a CHMP opinion on our MAA for valoctocogene roxaparvovec, in June 2022 and in mid-year 2022, respectively, and (iii) the duration of the FDA's review procedure of our BLA resubmission for valoctocogene roxaparvovec; and the expected benefits and availability of BioMarin's product candidates; and potential growth opportunities and trends, including that BioMarin expects (i) double-digit growth in revenues and profitability in 2022, (ii) increasing access to Voxzogo as the product launch continues in future quarters, (iii) 2022 being a transformational year for BioMarin.
These forward-looking statements are predictions and involve risks and uncertainties such that actual results may differ materially from these statements. These risks and uncertainties include, among others: BioMarin's success in the commercialization of its commercial products, including BioMarin's projected impact of the COVID-19 pandemic on its global revenue sources, including due to demand interruptions such as missed patient infusions and delayed treatment starts for new patients; results and timing of current and planned preclinical studies and clinical trials, as well as the potential impact of the COVID-19 pandemic on (i) BioMarin's ability to continue such preclinical studies and clinical trials and (ii) the timing of such preclinical studies and clinical trials, and the release of data from those trials; BioMarin's ability to successfully manufacture its commercial products and product candidates; the content and timing of decisions by the FDA, the European Commission and other regulatory authorities concerning each of the described products and product candidates, including the potential impact of the COVID-19 pandemic on the regulatory authorities' abilities to issue such decisions and the timing of such decisions; the market for each of these products; actual sales of BioMarin's commercial products and the impact that the COVID-19 pandemic may have on such sales; the introduction of generic versions of BioMarin's commercial products, in particular generic versions of Kuvan; and those factors detailed in BioMarin's filings with the Securities and Exchange Commission (SEC), including, without limitation, the factors contained under the caption "Risk Factors" in BioMarin's Annual Report on Form 10-K for the year ended December 31, 2021 as such factors may be updated by any subsequent reports. Stockholders are urged not to place undue reliance on forward-looking statements, which speak only as of the date hereof. BioMarin is under no obligation, and expressly disclaims any obligation to update or alter any forward-looking statement, whether as a result of new information, future events or otherwise.
BioMarin®, Brineura®, Kuvan®, Naglazyme®, Palynziq®, Vimizim® and Voxzogo® are registered trademarks of BioMarin Pharmaceutical Inc., or its affiliates. Aldurazyme® is a registered trademark of BioMarin/Genzyme LLC. All other brand names and service marks, trademarks and other trade names appearing in this release are the property of their respective owners.
Non-GAAP Information
The results presented in this press release include both GAAP information and Non-GAAP information. As used in this release, Non-GAAP Income is defined by the Company as GAAP Net Income/Loss excluding net interest expense, provision for income taxes, depreciation expense, amortization expense, stock-based compensation expense, contingent consideration expense and, in certain periods, certain other specified items, as detailed below when applicable. In addition, BioMarin includes in this press release the effects of these adjustments on certain components of GAAP Net Income/Loss for each of the periods presented. In this regard, Non-GAAP Income and its components, including Non-GAAP Cost of Sales, Non-GAAP Research and Development expenses, Non-GAAP Selling, General and Administrative expense, Non-GAAP Intangible Asset Amortization and Contingent Consideration, Non-GAAP Gain on the Sale of Intangible Asset and Non-GAAP Benefit From Income Taxes are statement of operations line items prepared on the same basis as, and therefore components of, the overall Non-GAAP measures.
BioMarin regularly uses both GAAP and Non-GAAP results and expectations internally to assess its financial operating performance and evaluate key business decisions related to its principal business activities: the discovery, development, manufacture, marketing and sale of innovative biologic therapies. Because Non-GAAP Income and its components are important internal measurements for BioMarin, the Company believes that providing this information in conjunction with BioMarin's GAAP information enhances investors' and analysts' ability to meaningfully compare the Company's results from period to period and to its forward-looking guidance, and to identify operating trends in the Company's principal business. BioMarin also uses Non-GAAP Income internally to understand, manage and evaluate its business and to make operating decisions, and compensation of executives is based in part on this measure.
Non-GAAP Income and its components are not meant to be considered in isolation, as a substitute for, or superior to comparable GAAP measures and should be read in conjunction with the consolidated financial information prepared in accordance with GAAP. Investors should note that the Non-GAAP information is not prepared under any comprehensive set of accounting rules or principles and does not reflect all of the amounts associated with the Company's results of operations as determined in accordance with GAAP. Investors should also note that these Non-GAAP measures have no standardized meaning prescribed by GAAP and, therefore, have limits in their usefulness to investors. In addition, from time to time in the future there may be other items that the Company may exclude for purposes of its Non-GAAP measures; likewise, the Company may in the future cease to exclude items that it has historically excluded for purposes of its Non-GAAP measures. Because of the non-standardized definitions, the Non-GAAP measure as used by BioMarin in this press release and the accompanying tables may be calculated differently from, and therefore may not be directly comparable to, similarly titled measures used by other companies.
The following table presents the reconciliation of GAAP Net Income to Non-GAAP Income:
The following reconciliation of the GAAP reported to the Non-GAAP information provides the details of the effects of the Non-GAAP adjustments on certain components of the Company's operating results for each of the periods presented.
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SOURCE BioMarin Pharmaceutical Inc. | https://www.whsv.com/prnewswire/2022/04/27/biomarin-announces-record-revenues-first-quarter-2022/ | 2022-04-27T20:52:50Z |
TUPELO, Miss. and HOUSTON, April 27, 2022 /PRNewswire/ -- At its regular quarterly meeting today, the Board of Directors of Cadence Bank (NYSE: CADE) (Cadence) declared a quarterly cash dividend of $0.22 per share of common stock. The common stock dividend is payable on July 1, 2022, to shareholders of record at the close of business on June 15, 2022.
The board of directors also declared a quarterly cash dividend of $0.34375 per share of Series A Preferred Stock. The preferred stock dividend is payable on May 20, 2022, to shareholders of record at the close of business on May 5, 2022.
Cadence earlier reported financial results for the first quarter of 2022. Net income available to common shareholders was $112.6 million, or $0.60 per diluted share, and adjusted income available to common shareholders was $121.6 million, or $0.65 per diluted share.
About Cadence Bank
Cadence Bank (NYSE: CADE) is a leading regional banking franchise with approximately $47 billion in assets and more than 400 branch locations across the South, Midwest and Texas. Cadence provides consumers, businesses and corporations with a full range of innovative banking and financial solutions. Services and products include consumer banking, consumer loans, mortgages, home equity lines and loans, credit cards, commercial and business banking, treasury management, specialized lending, asset-based lending, commercial real estate, equipment financing, correspondent banking, SBA lending, foreign exchange, wealth management, investment and trust services, financial planning, retirement plan management, and personal and business insurance. Cadence is committed to a culture of respect, diversity and inclusion in both its workplace and communities. Cadence Bank, Member FDIC. Equal Housing Lender.
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SOURCE Cadence Bank | https://www.whsv.com/prnewswire/2022/04/27/cadence-bank-declares-quarterly-common-preferred-dividends/ | 2022-04-27T20:53:03Z |
NEW YORK, April 27, 2022 /PRNewswire/ -- Color Star Technology Co., Ltd. (Nasdaq: CSCW) ("Color Star" or the "Company"), an entertainment technology company with a global network that focuses on the application of technology and artificial intelligence in the entertainment industry, announces today that on April 26, 2022, it received a letter from The Nasdaq Stock Market LLC ("Nasdaq"), notifying the Company that it is eligible for an additional 180 calendar day period, or until October 24, 2022, to regain compliance with the Nasdaq's minimum $1 bid price per share requirement.
The Company was first notified by Nasdaq of its failure to maintain a minimum bid price of $1.00 per share for 30 consecutive trading days under Nasdaq Listing Rule 5550(a)(2) and 5810(c)(3)(A) on October 27, 2021, and was given until April 25, 2022 to regain compliance. The Company did not regain compliance with the minimum $1 bid price per share requirement during the first 180-calendar-day compliance period and has submitted the written notice of its intention to cure the deficiency during the second compliance period.
If at any time before October 24, 2022, the bid price of the Company's ordinary shares closes at or above $1 per share for a minimum of 10 consecutive trading days, the Company will regain compliance with the Nasdaq Listing Rules, and the matter will be closed.
About Color Star Technology Co., Ltd.
Color Star Technology Co., Ltd. (Nasdaq: CSCW) is an entertainment and education company that provides online entertainment performances and online music education services. Its business operations are conducted through its wholly-owned subsidiaries, Color China Entertainment Ltd. and CACM Group NY, Inc. The Company's online education is provided through its Color World music and entertainment education platform. More information about the Company can be found at www.colorstarinternational.com.
Forward-Looking Statement
This press release contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Forward-looking statements include statements concerning plans, objectives, goals, strategies, future events or performance, and underlying assumptions and other statements that are other than statements of historical facts. When the Company uses words such as "may," "will," "intend," "should," "believe," "expect," "anticipate," "project," "estimate" or similar expressions that do not relate solely to historical matters, it is making forward-looking statements. Forward-looking statements are not guarantee of future performance and involve risks and uncertainties that may cause the actual results to differ materially from the Company's expectations discussed in the forward-looking statements. These statements are subject to uncertainties and risks including, but not limited to, the following: the Company's goals and strategies; the Company's future business development, including the development of the metaverse project; product and service demand and acceptance; changes in technology; economic conditions; the growth of the educational and training services market internationally where CSCW conducts its business; reputation and brand; the impact of competition and pricing; government regulations; fluctuations in general economic and business conditions and assumptions underlying or related to any of the foregoing and other risks contained in reports filed by the Company with the Securities and Exchange Commission. For these reasons, among others, investors are cautioned not to place undue reliance upon any forward-looking statements in this press release. Additional factors are discussed in the Company's filings with the U.S. Securities and Exchange Commission, which are available for review at www.sec.gov. The Company undertakes no obligation to publicly revise these forward–looking statements to reflect events or circumstances that arise after the date hereof unless required by applicable laws, regulations or rules.
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SOURCE Color Star Technology Co., Ltd. | https://www.whsv.com/prnewswire/2022/04/27/color-star-technology-co-ltd-nasdaq-cscw-announces-receipt-extension-meet-nasdaqs-minimum-bid-price-requirement/ | 2022-04-27T20:53:09Z |
CALGARY, AB, April 27, 2022 /PRNewswire/ - Canadian Pacific Railway Limited (TSX: CP) (NYSE: CP) (the "Company") today announced first-quarter operating results.
In light of the financial complexity of acquiring Kansas City Southern ("KCS") into voting trust on Dec. 14, 2021, CP is reporting additional financial metrics, including Core adjusted income1 and Core adjusted diluted earnings per share1 ("EPS"). These metrics have been added to provide more transparency by isolating for the impact of KCS purchase accounting. KCS purchase accounting represents the amortization of the difference in value between the consideration paid to acquire KCS and the underlying carrying value of the net assets of KCS immediately prior to the acquisition by the Company.
"I'm proud of the way CP's team of professional railroaders managed the difficult operating environment they faced in the first quarter of 2022," said Keith Creel, CP President and CEO. "The quarter reflected the impact of last year's drought on Canadian grain volumes, harsh winter operating conditions and the effects of a work stoppage."
First-quarter highlights
- Revenues decreased by 6 percent to $1.84 billion from $1.96 billion last year
- Reported Operating Ratio ("OR") increased by 1,070 basis points to 70.9 percent from 60.2 percent
- Adjusted OR1 increased by 1,130 basis points to 69.8 percent
- Reported diluted EPS was $0.63, a 30 percent decrease from last year
- Core adjusted diluted EPS1, excluding significant items and KCS purchase accounting, was $0.67
"CP continues to see a strong, supportive macroeconomic environment and is focused on providing customers with creative service offerings," added Creel. "With a difficult quarter behind us, we are building momentum, which I fully expect will continue to carry through the remainder of 2022."
CP is continuing its work preparing to create the first single-line rail network linking the U.S., Mexico and Canada by combining KCS, subject to U.S. Surface Transportation Board approval.
"The demand for North American goods and commodities only continues to grow and highlight the need for new single-line routes and outlets to reach global markets," Creel said. "Our excitement about the opportunities ahead with the combined companies continues to grow."
Conference Call Details
CP will discuss its results with the financial community in a conference call beginning at 4:30 p.m. ET (2:30 p.m. MT) on April 27, 2022.
Conference Call Access
Canada and U.S.: 866-342-8591
International: 203-518-9713
*Conference ID: CPQ122
Callers should dial in 15 minutes prior to the call.
Webcast
We encourage you to access the webcast and presentation material in the Investors section of CP's website at investor.cpr.ca.
A replay of the first-quarter conference call will be available by phone through to May 4, 2022 at 800-688-9445 (U.S.) or 402-220-1371 (International).
Note on forward-looking information
This news release may contain certain forward-looking information and forward-looking statements (collectively, "forward-looking information") within the meaning of applicable securities laws. Forward-looking information includes, but is not limited to, statements concerning expectations, beliefs, plans, goals, objectives, assumptions and statements about possible future events, conditions, and results of operations or performance. Forward-looking information may contain statements with words or headings such as "financial expectations", "key assumptions", "anticipate", "believe", "expect", "plan", "will", "outlook", "should" or similar words suggesting future outcomes. This news release contains forward-looking information relating, but not limited to statements concerning, cost control efforts, the success of our business, changes to economic and industry conditions, our operations, priorities and plans, anticipated financial and operational performance, business prospects and demand for our services and growth opportunities.
The forward-looking information that may be in this news release is based on current expectations, estimates, projections and assumptions, having regard to CP's experience and its perception of historical trends, and includes, but is not limited to, expectations, estimates, projections and assumptions relating to: changes in business strategies, North American and global economic growth; commodity demand growth; sustainable industrial and agricultural production; commodity prices and interest rates; performance of our assets and equipment; sufficiency of our budgeted capital expenditures in carrying out our business plan; geopolitical conditions, applicable laws, regulations and government policies; the availability and cost of labour, services and infrastructure; the satisfaction by third parties of their obligations to CP; and the anticipated impacts of the COVID-19 pandemic on CP businesses, operating results, cash flows and/or financial condition. Although CP believes the expectations, estimates, projections and assumptions reflected in the forward-looking information presented herein are reasonable as of the date hereof, there can be no assurance that they will prove to be correct. Current conditions, economic and otherwise, render assumptions, although reasonable when made, subject to greater uncertainty.
Undue reliance should not be placed on forward-looking information as actual results may differ materially from those expressed or implied by forward-looking information. By its nature, CP's forward-looking information involves inherent risks and uncertainties that could cause actual results to differ materially from the forward looking information, including, but not limited to, the following factors: changes in business strategies and strategic opportunities; general Canadian, U.S., Mexican and global social, economic, political, credit and business conditions; risks associated with agricultural production such as weather conditions and insect populations; the availability and price of energy commodities; the effects of competition and pricing pressures, including competition from other rail carriers, trucking companies and maritime shippers in Canada, the U.S. and Mexico; North American and global economic growth; industry capacity; shifts in market demand; changes in commodity prices and commodity demand; uncertainty surrounding timing and volumes of commodities being shipped via CP; inflation; geopolitical instability; changes in laws, regulations and government policies, including regulation of rates; changes in taxes and tax rates; potential increases in maintenance and operating costs; changes in fuel prices; disruption in fuel supplies; uncertainties of investigations, proceedings or other types of claims and litigation; compliance with environmental regulations; labour disputes; changes in labour costs and labour difficulties; risks and liabilities arising from derailments; transportation of dangerous goods; timing of completion of capital and maintenance projects; sufficiency of budgeted capital expenditures in carrying out business plans; services and infrastructure; the satisfaction by third parties of their obligations; currency and interest rate fluctuations; exchange rates; effects of changes in market conditions and discount rates on the financial position of pension plans and investments; trade restrictions or other changes to international trade arrangements; the effects of current and future multinational trade agreements on the level of trade among Canada, the U.S. and Mexico; climate change and the market and regulatory responses to climate change; anticipated in-service dates; success of hedging activities; operational performance and reliability; customer, regulatory and other stakeholder approvals and support; regulatory and legislative decisions and actions; the adverse impact of any termination or revocation by the Mexican government of Kansas City Southern de México, S.A. de C.V.'s Concession; public opinion; various events that could disrupt operations, including severe weather, such as droughts, floods, avalanches and earthquakes, and cybersecurity attacks, as well as security threats and governmental response to them, and technological changes; acts of terrorism, war or other acts of violence or crime or risk of such activities; insurance coverage limitations; material adverse changes in economic and industry conditions, including the availability of short and long-term financing; the pandemic created by the outbreak of COVID-19 and its variants and resulting effects on economic conditions, the demand environment for logistics requirements and energy prices, restrictions imposed by public health authorities or governments, fiscal and monetary policy responses by governments and financial institutions, and disruptions to global supply chains; the realization of anticipated benefits and synergies of the KCS transaction and the timing thereof; the success of integration plans for KCS; the focus of management time and attention on the KCS transaction and other disruptions arising from the transaction; estimated future dividends; financial strength and flexibility; debt and equity market conditions, including the ability to access capital markets on favourable terms or at all; cost of debt and equity capital; and the ability of the management of the Company, to execute key priorities, including those in connection with the KCS transaction. The foregoing list of factors is not exhaustive. These and other factors are detailed from time to time in reports filed by CP with securities regulators in Canada and the United States. Reference should be made to "Item 1A - Risk Factors" and "Item 7 - Management's Discussion and Analysis of Financial Condition and Results of Operations - Forward-Looking Statements" in CP's annual and interim reports on Form 10-K and 10-Q.
Any forward-looking information contained in this news release is made as of the date hereof. Except as required by law, CP undertakes no obligation to update publicly or otherwise revise any forward-looking information, or the foregoing assumptions and risks affecting such forward-looking information, whether as a result of new information, future events or otherwise.
About Canadian Pacific
Canadian Pacific is a transcontinental railway in Canada and the United States with direct links to major ports on the west and east coasts. CP provides North American customers a competitive rail service with access to key markets in every corner of the globe. CP is growing with its customers, offering a suite of freight transportation services, logistics solutions and supply chain expertise. Visit cpr.ca to see the rail advantages of CP. CP-IR
FINANCIAL STATEMENTS
INTERIM CONSOLIDATED STATEMENTS OF INCOME
(unaudited)
See Notes to Interim Consolidated Financial Statements.
INTERIM CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(unaudited)
See Notes to Interim Consolidated Financial Statements.
INTERIM CONSOLIDATED BALANCE SHEETS AS AT
(unaudited)
See Contingencies (Note 17).
See Notes to Interim Consolidated Financial Statements.
INTERIM CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited)
See Notes to Interim Consolidated Financial Statements.
INTERIM CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY
(unaudited)
See Notes to Interim Consolidated Financial Statements.
NOTES TO INTERIM CONSOLIDATED FINANCIAL STATEMENTS
March 31, 2022
(unaudited)
1 Basis of presentation
These unaudited Interim Consolidated Financial Statements ("Interim Consolidated Financial Statements") of Canadian Pacific Railway Limited ("CPRL") and its subsidiaries (collectively, "CP", or "the Company"), expressed in Canadian dollars, reflect management's estimates and assumptions that are necessary for their fair presentation in conformity with generally accepted accounting principles in the United States of America ("GAAP"). They do not include all disclosures required under GAAP for annual financial statements and should be read in conjunction with the 2021 annual Consolidated Financial Statements and notes included in CP's 2021 Annual Report on Form 10-K. The accounting policies used are consistent with the accounting policies used in preparing the 2021 annual Consolidated Financial Statements.
On April 21, 2021, the Company's shareholders approved a five-for-one share split of the Company's issued and outstanding Common Shares. On May 13, 2021, the Company's shareholders of record, as of May 5, 2021 received four additional shares for every Common Share held. Ex-distribution trading in the Company's Common Shares on a split-adjusted basis commenced on May 14, 2021. Proportional adjustments were also made to outstanding awards under the Company's stock-based compensation plans in order to reflect the share split. All outstanding Common Shares, stock-based compensation awards, and per share amounts herein have been retrospectively adjusted to reflect the share split.
CP's operations can be affected by seasonal fluctuations such as changes in customer demand and weather-related issues. This seasonality could impact quarter-over-quarter comparisons.
In management's opinion, the Interim Consolidated Financial Statements include all adjustments (consisting of normal and recurring adjustments) necessary to present fairly such information. Interim results are not necessarily indicative of the results expected for the fiscal year.
2 Accounting changes
Implemented in 2022
Government Assistance
On January 1, 2022, the Company adopted the new Accounting Standards Update ("ASU") 2021-10, issued by the Financial Accounting Standards Board ("FASB"), and all related amendments under FASB Accounting Standards Codification ("ASC") Topic 832, Government Assistance. The amendment is made to increase transparency by introducing specific disclosure requirements for entities who apply a grant or contribution model by analogy to account for transactions with a government. This update will be applied to government assistance transactions within the scope of this amendment that are in the financial statements at the date of initial application and prospectively to new transactions entered into after initial application. See Note 9 for further discussion on government assistance.
All other accounting pronouncements that became effective during the period covered by the Interim Consolidated Financial Statements did not have a material impact on the Company's Consolidated Financial Statements and related disclosures.
Future changes
Contract Assets and Contract Liabilities Acquired in a Business Combination
In October 2021, the FASB issued ASU 2021-08, Business Combinations (Topic 805), Accounting for Contract Assets and Contract Liabilities from Contracts with Customers. This amendment introduces the requirement for an acquirer to recognize and measure contract assets and contract liabilities acquired in a business combination in accordance with the requirements of FASB ASC Topic 606, Revenue from Contracts with Customers, rather than at fair value. This amendment will be effective prospectively from January 1, 2023, with early adoption permitted. The Company is currently assessing the impact of this amendment.
All other recently issued accounting pronouncements issued, but not effective until after March 31, 2022 have been assessed and are not expected to have a material impact on the Company's Consolidated Financial Statements and related disclosures.
3 Revenues
The following table disaggregates the Company's revenues from contracts with customers by major source:
Contract liabilities
Contract liabilities represent payments received for performance obligations not yet satisfied and relate to deferred revenue and are presented as components of "Accounts payable and accrued liabilities" and "Other long-term liabilities" on the Company's Interim Consolidated Balance Sheets.
The following table summarizes the changes in contract liabilities:
4 Other income
5 Income taxes
The effective tax rates including discrete items for the three months ended March 31, 2022 was 12.67%, compared to 24.05% for the same period of 2021.
For the three months ended March 31, 2022, the effective tax rate was 24.25%, excluding equity earnings of Kansas City Southern ("KCS"), acquisition-related costs incurred by CP of $20 million, and an outside basis deferred tax recovery of $32 million arising from the difference between the carrying amount of CP's investment in KCS for financial reporting, and the underlying tax basis of this investment.
For the three months ended March 31, 2021, the effective tax rate was 24.60%, excluding acquisition-related costs incurred by CP of $36 million and the FX gain of $33 million on debt and lease liabilities.
6 Earnings per share
Basic earnings per share has been calculated using Net income for the period divided by the weighted-average number of shares outstanding during the period. The number of shares used in the earnings per share calculations are reconciled as follows:
For the three months ended March 31, 2022, there were nil options excluded from the computation of diluted earnings per share because their effects were not dilutive (three months ended March 31, 2021 - nil).
7 Changes in Accumulated other comprehensive loss ("AOCL") by component
Amounts in Pension and post-retirement defined benefit plans reclassified from AOCL are as follows:
8 Accounts receivable, net
9 Government Assistance
By analogy to the grant model of accounting within International Accounting Standards ("IAS") 20, Accounting for Government Grants and Disclosure of Government Assistance, CP records government assistance from various levels of Canadian and U.S. governments and government agencies when the conditions of their receipt are complied with and there is reasonable assurance that the assistance will be received.
Government assistance related to properties have as a primary condition that CP should purchase, construct, or otherwise acquire property, plant and equipment. Under certain government assistance arrangements, there is a secondary condition which requires CP to repay a portion of the assistance if certain conditions related to the assets are not adhered to during a specified period. In these cases, it is CP's intention to comply with all conditions imposed by the terms of the government assistance. Government assistance received or receivable related to CP's property assets are deducted from the cost of the assets in the Consolidated Balance Sheets and amortized over the same period as the related assets in "Depreciation and amortization" in the Consolidated Statements of Income.
During the three months ended March 31, 2022, the Company received $13 million of government assistance towards the purchase and construction of properties. Government assistance received is netted against "Properties" in the Company's Interim Consolidated Balance Sheets.
As of March 31, 2022, the total Properties balance of $21,120 million is net of $269 million of unamortized government assistance (December 31, 2021 - $259 million), primarily related to the enhancement of CP's track and roadway infrastructure. Amortization expense related to government assistance for the three months ended March 31, 2022 was $3 million (three months ended March 31, 2021 - $3 million).
10 Business acquisition
Kansas City Southern
The Company accounts for its investment in KCS using the equity method of accounting while the United States Surface Transportation Board's ("STB") considers the Company's application to control KCS. The STB review of CP's proposed control of KCS while KCS is in the voting trust is expected to be completed in the first quarter of 2023. The investment in KCS of $41,626 million at March 31, 2022 includes $198 million of equity earnings of KCS for the first quarter of 2022, offset by a dividend received of $334 million on January 27, 2022. Included within the $198 million of equity earnings of KCS in the first quarter of 2022 is $40 million amortization (net of tax) of the approximately $30 billion basis difference, representing the difference in value between the consideration paid to acquire KCS and the underlying carrying value of the net assets of KCS as at December 14, 2021, immediately prior to the acquisition by CP. The basis difference is related to depreciable property, plant and equipment, intangible assets with definite lives, and long-term debt, and is amortized over the related assets' remaining useful lives, and the remaining terms to maturity of the debt instruments.
During the three months ended March 31, 2022, the Company incurred $20 million in acquisition-related costs, recorded within "Purchased services and other" in the Company's Interim Consolidated Statements of Income. Acquisition-related costs of $13 million incurred by KCS during the three months ended March 31, 2022 are included within "Equity earnings of Kansas City Southern" in the Company's Interim Consolidated Statements of Income.
During the three months ended March 31, 2021, the Company incurred $36 million in acquisition-related costs, of which $33 million was recorded within "Purchased services and other" and $3 million was recorded within "Other income" including the amortization of financing fees associated with new credit facilities. Total financing fees paid for a bridge facility associated with the KCS acquisition during the three months ended March 31, 2021 were $33 million, presented under Cash used in financing activities in the Company's Interim Consolidated Statements of Cash Flows.
11 Investment in KCS
The KCS investment carrying cost of $41,626 million reported on the Company's Interim Consolidated Balance Sheets as at March 31, 2022 reflects the consideration paid to acquire KCS, the asset recorded upon recognition of a deferred tax liability computed on an outside basis (see Note 5), the subsequent recognition of equity earnings, the dividend received from KCS, and foreign currency translation based on the quarter-end exchange rate.
The following table presents summarized financial information for KCS, on its historical cost basis:
Statement of Income
12 Debt
During the three months ended March 31, 2022, the Company repaid at maturity $125 million 5.100% 10-year Medium Term Notes, U.S. $250 million ($313 million) 4.500% 10-year Notes, and a U.S. $76 million ($97 million) 6.99% finance lease.
Credit Facility
Effective March 14, 2022, the Company extended the maturity date of the U.S. $500 million unsecured non-revolving term credit facility (the "term facility") to September 15, 2022. As at March 31, 2022, the Company had borrowings of U.S. $500 million ($625 million) under this term facility (December 31, 2021 - U.S. $500 million) at a weighted-average interest rate of 1.55% (December 31, 2021 - 1.38%).
Commercial paper program
The Company has a commercial paper program which enables it to issue commercial paper up to a maximum aggregate principal amount of U.S. $1.0 billion in the form of unsecured promissory notes. This commercial paper program is backed by the U.S. $1.3 billion revolving credit facility. As at March 31, 2022, the Company had total commercial paper borrowings of U.S. $520 million ($650 million), included in "Long-term debt maturing within one year" on the Company's Interim Consolidated Balance sheets (December 31, 2021 - U.S. $265 million). The weighted-average interest rate on these borrowings was 0.82% (December 31, 2021 - 0.32%). The Company presents issuances and repayments of commercial paper, all of which have a maturity of less than 90 days, in the Company's Interim Consolidated Statements of Cash Flows on a net basis.
13 Financial instruments
A. Fair values of financial instruments
The Company categorizes its financial assets and liabilities measured at fair value into a three-level hierarchy established by GAAP that prioritizes those inputs to valuation techniques used to measure fair value based on the degree to which they are observable. The three levels of the fair value hierarchy are as follows: Level 1 inputs are quoted prices in active markets for identical assets and liabilities; Level 2 inputs, other than quoted prices included within Level 1, are observable for the asset or liability either directly or indirectly; and Level 3 inputs are not observable in the market.
The Company's short-term financial instruments include cash and cash equivalents, restricted cash and cash equivalents, accounts receivable, accounts payable and accrued liabilities, and short-term borrowings including commercial paper and term loans. The carrying values of short-term financial instruments approximate their fair values.
The carrying value of the Company's long-term debt and finance lease liabilities does not approximate their fair value. Their estimated fair value has been determined based on market information, where available, or by discounting future payments of principal and interest at estimated interest rates expected to be available to the Company at period end. All measurements are classified as Level 2. The Company's long-term debt and finance lease liabilities, including current maturities, with a carrying value of $18,389 million at March 31, 2022 (December 31, 2021 - $19,151 million), had a fair value of $18,699 million (December 31, 2021 - $21,265 million).
B. Financial risk management
FX management
Net investment hedge
The effect of the Company's net investment hedge for the three months ended March 31, 2022 was an unrealized FX gain of $98 million (three months ended March 31, 2021 - unrealized FX gain of $76 million) recognized in "Other comprehensive (loss) income".
14 Shareholders' equity
On January 27, 2021, the Company announced a normal course issuer bid ("NCIB"), commencing January 29, 2021, to purchase up to 16.7 million Common Shares in the open market for cancellation on or before January 28, 2022. Upon expiry of this NCIB, the Company had not purchased any Common Shares under this NCIB.
15 Pension and other benefits
In the three months ended March 31, 2022, the Company made contributions to its defined benefit pension plans of $3 million (three months ended March 31, 2021 - $4 million).
Net periodic benefit costs for defined benefit pension plans and other benefits included the following components:
16 Stock-based compensation
At March 31, 2022, the Company had several stock-based compensation plans including stock option plans, various cash-settled liability plans, and an employee share purchase plan. These plans resulted in an expense for the three months ended March 31, 2022 of $44 million (three months ended March 31, 2021 - expense of $24 million).
Stock option plan
In the three months ended March 31, 2022, under CP's stock option plans, the Company issued 819,760 options at the weighted-average price of $90.86 per share, based on the closing price on the grant date. Pursuant to the employee plan, these options may be exercised upon vesting, which is between 12 months and 48 months after the grant date, and will expire after seven years.
Under the fair value method, the fair value of the stock options at grant date was approximately $15 million. The weighted-average fair value assumptions were approximately:
Performance share unit plans
During the three months ended March 31, 2022, the Company issued 411,999 Performance Share Units ("PSUs") with a grant date fair value of approximately $36 million and 13,506 Performance Deferred Share Units ("PDSUs") with a grant date fair value, including the value of expected future matching units, of approximately $2 million. PSUs and PDSUs attract dividend equivalents in the form of additional units based on dividends paid on the Company's Common Shares, and vest approximately three years after the grant date, contingent upon CP's performance ("performance factor"). The fair value of these PSUs and PDSUs is measured periodically until settlement. Vested PSUs are settled in cash. Vested PDSUs are settled in cash pursuant to the Deferred Share Unit ("DSU") Plan and are eligible for a 25% match if the holder has not exceeded their share ownership requirements, and are paid out only when the holder ceases their employment with CP.
The performance period for PSUs and PDSUs issued in the three months ended March 31, 2022 is January 1, 2022 to December 31, 2024 and the performance factors are Free Cash Flow ("FCF"), Adjusted Net Debt to Adjusted earnings before interest, tax, depreciation, and amortization ("EBITDA") Modifier, Total Shareholder Return ("TSR") compared to the S&P/TSX 60 Index, and TSR compared to S&P 500 Industrials Index.
The performance period for PSUs issued in 2019 was January 1, 2019 to December 31, 2021. The performance factors for 668,405 PSUs were Return on Invested Capital ("ROIC"), TSR compared to the S&P/TSX 60 Index, and TSR compared to Class I Railways. The resulting payout was 200% of the outstanding units multiplied by the Company's average share price calculated using the last 30 trading days preceding December 31, 2021. In the first quarter of 2022, payouts occurred on 631,457 total outstanding awards, including dividends reinvested, totalling $116 million.
Deferred share unit plan
During the three months ended March 31, 2022, the Company granted 39,409 DSUs with a grant date fair value of approximately $4 million. DSUs vest over various periods of up to 36 months and are only redeemable for a specified period after employment is terminated. The expense for DSUs is recognized over the vesting period for both the initial subscription price and the change in value between reporting periods.
17 Contingencies
In the normal course of its operations, the Company becomes involved in various legal actions, including claims relating to injuries and damage to property. The Company maintains provisions it considers to be adequate for such actions. While the final outcome with respect to actions outstanding or pending at March 31, 2022 cannot be predicted with certainty, it is the opinion of management that their resolution will not have a material adverse effect on the Company's business, financial position or results of operations. However, an unexpected adverse resolution of one or more of these legal actions could have a material adverse effect on the Company's business, financial position, results of operations, or liquidity in a particular quarter or fiscal year.
Legal proceedings related to Lac-Mégantic rail accident
On July 6, 2013, a train carrying petroleum crude oil operated by Montréal Maine and Atlantic Railway ("MMAR") or a subsidiary, Montréal Maine & Atlantic Canada Co. ("MMAC" and collectively the "MMA Group"), derailed in Lac-Mégantic, Québec. The derailment occurred on a section of railway owned and operated by the MMA Group and while the MMA Group exclusively controlled the train.
Following the derailment, MMAC sought court protection in Canada under the Companies' Creditors Arrangement Act and MMAR filed for bankruptcy in the U.S. Plans of arrangement were approved in both Canada and the U.S. (the "Plans"), providing for the distribution of approximately $440 million amongst those claiming derailment damages.
A number of legal proceedings, set out below, were commenced in Canada and the U.S. against CP and others:
(1) Québec's Minister of Sustainable Development, Environment, Wildlife and Parks ordered various parties, including CP, to remediate the derailment site (the "Cleanup Order") and served CP with a Notice of Claim for $95 million for those costs. CP appealed the Cleanup Order and contested the Notice of Claim with the Administrative Tribunal of Québec. These proceedings are stayed pending determination of the Attorney General of Québec ("AGQ") action (paragraph 2 below).
(2) The AGQ sued CP in the Québec Superior Court claiming $409 million in damages, which was amended and reduced to $315 million (the "AGQ Action"). The AGQ Action alleges that: (i) CP was responsible for the petroleum crude oil from its point of origin until its delivery to Irving Oil Ltd.; and (ii) CP is vicariously liable for the acts and omissions of the MMA Group.
(3) A class action in the Québec Superior Court on behalf of persons and entities residing in, owning or leasing property in, operating a business in, or physically present in Lac-Mégantic at the time of the derailment was certified against CP on May 8, 2015 (the "Class Action"). Other defendants including MMAC and Mr. Thomas Harding ("Harding") were added to the Class Action on January 25, 2017. On November 28, 2019, the plaintiffs' motion to discontinue their action against Harding was granted. The Class Action seeks unquantified damages, including for wrongful death, personal injury, property damage, and economic loss.
(4) Eight subrogated insurers sued CP in the Québec Superior Court claiming approximately $16 million in damages, which was amended and reduced to approximately $15 million (the "Promutuel Action"), and two additional subrogated insurers sued CP claiming approximately $3 million in damages (the "Royal Action"). Both actions contain similar allegations as the AGQ Action. The actions do not identify the subrogated parties. As such, the extent of any overlap between the damages claimed in these actions and under the Plans is unclear. The Royal Action is stayed pending determination of the consolidated proceedings described below.
On December 11, 2017, the AGQ Action, the Class Action and the Promutuel Action were consolidated. The joint liability trial of these consolidated claims commenced on September 21, 2021 and will be followed by a damages trial, if necessary.
(5) Forty-eight plaintiffs (all individual claims joined in one action) sued CP, MMAC, and Harding in the Québec Superior Court claiming approximately $5 million in damages for economic loss and pain and suffering, and asserting similar allegations as in the Class Action and the AGQ Action. The majority of the plaintiffs opted-out of the Class Action and all but two are also plaintiffs in litigation against CP, described in paragraph 7 below. This action is stayed pending determination of the consolidated claims described above.
(6) The MMAR U.S. bankruptcy estate representative commenced an action against CP in November 2014 in the Maine Bankruptcy Court claiming that CP failed to abide by certain regulations and seeking approximately U.S. $30 million in damages for MMAR's loss in business value according to a recent expert report filed by the bankruptcy estate. This action asserts that CP knew or ought to have known that the shipper misclassified the petroleum crude oil and therefore should have refused to transport it.
(7) The class and mass tort action commenced against CP in June 2015 in Texas (on behalf of Lac-Mégantic residents and wrongful death representatives) and the wrongful death and personal injury actions commenced against CP in June 2015 in Illinois and Maine, were all transferred and consolidated in Federal District Court in Maine (the "Maine Actions"). The Maine Actions allege that CP negligently misclassified and improperly packaged the petroleum crude oil. On CP's motion, the Maine Actions were dismissed. The plaintiffs appealed the dismissal decision to the United States First Circuit Court of Appeals, which dismissed the plaintiffs' appeal on June 2, 2021. The plaintiffs further petitioned the United States First Circuit Court of Appeals for a rehearing, which was denied on September 8, 2021. On January 24, 2022, the plaintiffs further appealed to the U.S. Supreme Court on two bankruptcy procedural grounds. CP filed its opposition to the appeal on April 20, 2022.
(8) The trustee for the wrongful death trust commenced Carmack Amendment claims against CP in North Dakota Federal Court, seeking to recover approximately U.S. $6 million for damaged rail cars and lost crude and reimbursement for the settlement paid by the consignor and the consignee under the Plans (alleged to be U.S. $110 million and U.S. $60 million, respectively). The Court issued an Order on August 6, 2020 granting and denying in parts the parties' summary judgment motions which has been reviewed and confirmed following motions by the parties for clarification and reconsideration. This action is scheduled for trial on July 11 to 14, 2022.
At this stage of the proceedings, any potential responsibility and the quantum of potential losses cannot be determined. Nevertheless, CP denies liability and is vigorously defending these proceedings.
Environmental liabilities
Environmental remediation accruals, recorded on an undiscounted basis unless a reliable, determinable estimate as to an amount and timing of costs can be established, cover site-specific remediation programs.
The accruals for environmental remediation represent CP's best estimate of its probable future obligation and include both asserted and unasserted claims, without reduction for anticipated recoveries from third parties. Although the recorded accruals include CP's best estimate of all probable costs, CP's total environmental remediation costs cannot be predicted with certainty. Accruals for environmental remediation may change from time to time as new information about previously untested sites becomes known, and as environmental laws and regulations evolve and advances are made in environmental remediation technology. The accruals may also vary as the courts decide legal proceedings against outside parties responsible for contamination. These potential charges, which cannot be quantified at this time, may materially affect income in the particular period in which a charge is recognized. Costs related to existing, but as yet unknown, or future contamination will be accrued in the period in which they become probable and reasonably estimable.
The expense included in "Purchased services and other" in the Company's Interim Consolidated Statements of Income for the three months ended March 31, 2022 was $2 million (three months ended March 31, 2021 - $2 million). Provisions for environmental remediation costs are recorded in the Company's Interim Consolidated Balance Sheets in "Other long-term liabilities", except for the current portion which is recorded in "Accounts payable and accrued liabilities". The total amount provided at March 31, 2022 was $79 million (December 31, 2021 - $79 million). Payments are expected to be made over 10 years through 2031.
Summary of Rail Data
Summary of Rail Data (Continued)
Summary of Rail Data (Continued)
Summary of Rail Data (Continued)
Non-GAAP Measures
The Company presents Non-GAAP measures to provide a basis for evaluating underlying earnings and liquidity trends in the Company's business that can be compared with the results of operations in prior periods. In addition, these Non-GAAP measures facilitate a multi-period assessment of long-term profitability, allowing management and other external users of the Company's consolidated financial information to compare profitability on a long-term basis, including assessing future profitability, with that of the Company's peers.
These Non-GAAP measures have no standardized meaning and are not defined by accounting principles generally accepted in the United States of America ("GAAP") and, therefore, may not be comparable to similar measures presented by other companies. The presentation of these Non-GAAP measures is not intended to be considered in isolation from, as a substitute for, or as superior to the financial information presented in accordance with GAAP.
Non-GAAP Performance Measures
The Company uses adjusted earnings results including Adjusted income, Adjusted diluted earnings per share, Adjusted operating income and Adjusted operating ratio to evaluate the Company's operating performance and for planning and forecasting future business operations and future profitability. Core adjusted income and Core adjusted diluted earnings per share are presented to provide financial statement users with additional transparency by isolating for the impact of KCS purchase accounting. KCS purchase accounting represents the amortization of basis differences, being the difference in value between the consideration paid to acquire KCS and the underlying carrying value of the net assets of KCS immediately prior to its acquisition by the Company. All assets subject to KCS purchase accounting contribute to income generation and will continue to amortize over their estimated useful lives. These Non-GAAP measures provide meaningful supplemental information regarding operating results because they exclude certain significant items that are not considered indicative of future financial trends either by nature or amount or provide improved comparability to past performance. As a result, these items are excluded for management assessment of operational performance, allocation of resources and preparation of annual budgets. These significant items may include, but are not limited to, restructuring and asset impairment charges, individually significant gains and losses from sales of assets, acquisition-related costs, the merger termination payment received, the foreign exchange ("FX") impact of translating the Company's debt and lease liabilities (including borrowings under the credit facility), discrete tax items, changes in the outside basis tax difference between the carrying amount of CP's equity investment in KCS and its tax basis of this investment, changes in income tax rates, changes to an uncertain tax item, and certain items outside the control of management. Acquisition-related costs include legal, consulting, financing fees, integration planning costs consisting of third-party services and system migration, fair value gain or loss on FX forward contracts and interest rate hedges, FX gain on U.S. dollar-denominated cash on hand from the issuances of long-term debt to fund the KCS acquisition, and transaction and integration costs incurred by KCS which were recognized within Equity earnings of Kansas City Southern in the Company's Interim Consolidated Statements of Income. These items may not be non-recurring. However, excluding these significant items from GAAP results allows for a consistent understanding of the Company's consolidated financial performance when performing a multi-period assessment including assessing the likelihood of future results. Accordingly, these Non-GAAP financial measures may provide insight to investors and other external users of the Company's consolidated financial information.
Significant items that impact reported earnings for the first three months of 2022, the twelve months of 2021, and the last nine months of 2020 include:
2022:
- Deferred tax recovery of $32 million on changes in the outside basis difference of the equity investment in KCS that favourably impacted Diluted EPS by 3 cents; and
- Acquisition-related costs of $33 million in connection with the KCS acquisition ($30 million after current tax recovery of $3 million), including an expense of $20 million recognized in Purchased services and other and $13 million recognized in Equity earnings of KCS that unfavourably impacted Diluted EPS by 3 cents.
2021:
- In the fourth quarter, a deferred tax recovery of $33 million on changes in the outside basis difference of the equity investment in KCS that favourably impacted Diluted EPS by 5 cents;
- in the second quarter, merger termination payment received of $845 million ($748 million after current taxes) in connection with KCS's termination of the Original Merger Agreement effective May 21, 2021, that favourably impacted Diluted EPS by $1.11;
- during the course of the year, acquisition-related costs of $599 million in connection with the KCS acquisition ($500 million after current tax recovery of $107 million net of deferred tax expense of $8 million), including an expense of $183 million recognized in Purchased services and other, $169 million recognized in Equity loss of KCS, and $247 million recognized in Other expense (income), that unfavourably impacted Diluted EPS by 75 cents as follows:
- during the course of the year, a net non-cash gain of $7 million ($6 million after deferred tax) due to FX translation of debt and lease liabilities that favourably impacted Diluted EPS by 1 cent as follows:
2020:
- In the fourth quarter, a deferred tax recovery of $29 million due to a change relating to a tax return filing election for the state of North Dakota that favourably impacted Diluted EPS by 5 cents; and
- during the course of the year, a net non-cash gain of $229 million ($210 million after deferred tax) due to FX translation of debt and lease liabilities that favourably impacted Diluted EPS by 31 cents as follows:
Reconciliation of GAAP Performance Measures to Non-GAAP Performance Measures
The following tables reconcile the most directly comparable measures presented in accordance with GAAP to the Non-GAAP measures:
Adjusted income is calculated as Net income reported on a GAAP basis adjusted for significant items. Core adjusted income is calculated as Adjusted income less KCS purchase accounting.
Adjusted diluted earnings per share is calculated using Adjusted income, as defined above, divided by the weighted-average diluted number of Common Shares outstanding during the period as determined in accordance with GAAP. Core adjusted diluted earnings per share is calculated as Adjusted diluted earnings per share less KCS purchase accounting.
Adjusted operating income is calculated as Operating income reported on a GAAP basis less significant items.
Adjusted operating ratio excludes those significant items that are reported within operating income.
Adjusted Return on Invested Capital ("Adjusted ROIC")
Adjusted ROIC is calculated as Adjusted return divided by Adjusted average invested capital. Adjusted return is defined as Net income adjusted for interest expense, tax effected at the Company's adjusted annualized effective tax rate, and significant items in the Company's Consolidated Financial Statements, tax effected at the applicable tax rate. Adjusted average invested capital is defined as the sum of total Shareholders' equity, Long-term debt, and Long-term debt maturing within one year, as presented in the Company's Consolidated Financial Statements, each averaged between the beginning and ending balance over a trailing twelve month period, adjusted for the impact of significant items, tax effected at the applicable tax rate, on closing balances as part of this average. Adjusted ROIC excludes significant items reported in the Company's Consolidated Financial Statements, as these significant items are not considered indicative of future financial trends either by nature or amount, and excludes interest expense, net of tax, to incorporate returns on the Company's overall capitalization. Adjusted ROIC is a performance measure that measures how productively the Company uses its long-term capital investments, representing critical indicators of good operating and investment decisions made by management, and is an important performance criteria in determining certain elements of the Company's long-term incentive plan. Adjusted ROIC is reconciled below from Return on average shareholders' equity, the most comparable measure calculated in accordance with GAAP.
Calculation of Return on average shareholders' equity
Reconciliation of Net income to Adjusted return
Reconciliation of Average shareholders' equity to Adjusted average invested capital
Calculation of Adjusted ROIC
Free Cash
Free cash is calculated as Cash provided by operating activities, less Cash used in investing activities, adjusted for changes in cash and cash equivalents balances resulting from FX fluctuations, and the operating cash flow impacts of acquisition-related costs associated with the KCS transaction. Free cash is a measure that management considers to be a valuable indicator of liquidity. Free cash is useful to investors and other external users of the Company's Consolidated Financial Statements as it assists with the evaluation of the Company's ability to generate cash to satisfy debt obligations and discretionary activities such as dividends, share repurchase programs, and other strategic opportunities. The acquisition-related costs associated with the KCS acquisition are not indicative of operating trends and have been excluded from Free cash. Free cash should be considered in addition to, rather than as a substitute for, Cash provided by operating activities.
Reconciliation of Cash Provided by Operating Activities to Free Cash
Foreign Exchange Adjusted % Change
FX adjusted % change allows certain financial results to be viewed without the impact of fluctuations in foreign currency exchange rates, thereby facilitating period-to-period comparisons in the analysis of trends in business performance. Financial result variances at constant currency are obtained by translating the comparable period of the prior year results denominated in U.S. dollars at the foreign exchange rates of the current period.
FX adjusted % changes in revenues are further used in calculating FX adjusted % change in freight revenue per carload and RTM. FX adjusted % changes in revenues are as follows:
FX adjusted % changes in operating expenses are as follows:
FX adjusted % change in operating income is as follows:
Adjusted Net Debt to Adjusted EBITDA Ratio and Pro-forma adjusted Net Debt to Pro-forma adjusted EBITDA Ratio
Adjusted net debt to Adjusted earnings before interest, tax, depreciation and amortization ("EBITDA") ratio is calculated as Adjusted net debt divided by Adjusted EBITDA. The Adjusted net debt to Adjusted EBITDA ratio is a key credit measure used to assess the Company's financial capacity. The ratio provides information on the Company's ability to service its debt and other long-term obligations from operations, excluding significant items. The Adjusted net debt to Adjusted EBITDA ratio is reconciled below from the Long-term debt to Net income ratio, the most comparable measure calculated in accordance with GAAP.
Beginning in the first quarter of 2022, CP added disclosure of Pro-forma adjusted net debt to Pro-forma adjusted EBITDA ratio to better align with CP's debt covenant calculation, which incorporates the trailing twelve month adjusted EBITDA of KCS as well as KCS's outstanding debt. CP is incorporating the trailing twelve month adjusted EBITDA of KCS on a pro-forma basis, as CP is not entitled to earnings prior to the acquisition date of December 14, 2021. CP does not control KCS while it is in voting trust during review of our merger application by the United States Surface Transportation Board ("STB"), though CP is the beneficial owner of KCS's outstanding shares and receives cash dividends from KCS. The adjustment to include the trailing twelve month EBITDA and KCS's outstanding debt provides users of the financial statements with better insight into CP's progress in achieving deleveraging commitments. KCS's disclosed U.S. dollar financial values for the trailing twelve month ended March 31, 2022 were adjusted to Canadian dollars reflecting the FX rate for the appropriate periods presented. We have not presented 2021 Pro-forma adjusted net debt to Pro-forma adjusted EBITDA as CP was not the beneficial owner of KCS's shares as at March 31, 2021.
Calculation of Long-term Debt to Net Income Ratio
Reconciliation of Long-term Debt to Adjusted Net Debt and Pro-forma Adjusted Net Debt
Adjusted net debt is defined as Long-term debt, Long-term debt maturing within one year, and Short-term borrowing as reported on the Company's Consolidated Balance Sheets adjusted for pension plans deficit, operating lease liabilities recognized on the Company's Consolidated Balance Sheets, and Cash and cash equivalents. Adjusted net debt is used as a measure of debt and long-term obligations as part of the calculation of Adjusted Net Debt to Adjusted EBITDA.
Reconciliation of Net Income to EBIT, Adjusted EBIT and Adjusted EBITDA and Pro-forma Adjusted EBITDA
Earnings before interest and tax ("EBIT") is calculated as Net income before Net interest expense and Income tax expense. Adjusted EBIT excludes significant items reported in both Operating income and Other income. Adjusted EBITDA is calculated as Adjusted EBIT plus operating lease expense and Depreciation and amortization, less Other components of net periodic benefit recovery. Adjusted EBITDA is used as a measure of liquidity derived from operations, excluding significant items, as part of the calculation of Adjusted Net Debt to Adjusted EBITDA.
Calculation of Adjusted Net Debt to Adjusted EBITDA Ratio and Pro-forma Adjusted Net Debt to Pro-forma Adjusted EBITDA Ratio
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SOURCE Canadian Pacific | https://www.whsv.com/prnewswire/2022/04/27/cp-reports-first-quarter-results-building-momentum-q2/ | 2022-04-27T20:53:15Z |
KANSAS CITY, Mo., April 27, 2022 /PRNewswire/ -- Custom Truck One Source, Inc. ("Custom Truck One Source" or the "Company") (NYSE: CTOS) today announced that CEO, Fred Ross, President and Chief Operating Officer, Ryan McMonagle, Chief Financial Officer, Brad Meader, and Chief Accounting Officer, Todd Barrett, will participate in a fireside chat and host private investor meetings at the Oppenheimer 17th Annual Industrial Growth Conference on Wednesday, May 4, 2022. The fireside chat is scheduled to begin at 12:45 p.m. EDT.
A live webcast of the fireside chat will be available through the Company's Investor Relations website at investors.customtruck.com. A replay will be archived and available for 30 days following the conference on the same website.
ABOUT CUSTOM ONE TRUCK ONE SOURCE
Custom Truck One Source is a leading provider of specialized truck and heavy equipment solutions to the utility, telecommunications, rail and infrastructure markets in North America. The Company's solutions include rentals, sales, aftermarket parts, tools, accessories and service, equipment production, manufacturing, financing solutions, and asset disposal. With vast equipment breadth, the Company's team of experts service its customers across an integrated network of locations across North America. For more information, please visit customtruck.com.
INVESTOR CONTACT
Brian Perman, Vice President, Investor Relations
844-403-6138
investors@customtruck.com
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SOURCE Custom Truck One Source, Inc. | https://www.whsv.com/prnewswire/2022/04/27/custom-truck-one-source-participate-oppenheimer-17th-annual-industrial-growth-conference/ | 2022-04-27T20:53:22Z |
CUPERTINO, Calif., April 27, 2022 /PRNewswire/ -- DURECT Corporation (Nasdaq: DRRX) today announced that it will report its first quarter 2022 financial results and host a conference call after the market close on Wednesday, May 4, 2022.
Wednesday, May 4 @ 4:30pm Eastern Time / 1:30pm Pacific Time
Toll Free: 1-800-285-6670
International: 713-481-1320
Conference ID: 13729654
Webcast: https://event.choruscall.com/mediaframe/webcast.html?webcastid=6RVdxB8I
About DURECT Corporation
DURECT is a biopharmaceutical company committed to transforming the treatment of acute organ injury and chronic liver diseases by advancing novel and potentially lifesaving therapies based on its endogenous epigenetic regulator program. Larsucosterol (also known as DUR-928), DURECT's lead drug candidate, binds to and inhibits the activity of DNA methyltransferases (DNMTs), epigenetic enzymes which are elevated and associated with hypermethylation found in alcohol-associated hepatitis (AH) patients. Larsucosterol is in clinical development for the potential treatment of AH, for which FDA has granted a Fast Track Designation; non-alcoholic steatohepatitis (NASH) is also being explored. In addition, POSIMIR® (bupivacaine solution) for infiltration use, a non-opioid analgesic utilizing the innovative SABER® platform technology, is FDA-approved and has been exclusively licensed to Innocoll Pharmaceuticals for development and commercialization in the United States. For more information about DURECT, please visit www.durect.com and follow us on Twitter https://twitter.com/DURECTCorp.
DURECT Forward-Looking Statement.
The statements in this press release regarding clinical development of larsucosterol (DUR-928) for potential treatment of AH, the potential to develop larsucosterol for NASH or other indications, the expected commercial launch of POSIMIR by Innocoll and potential future payments we may receive from Innocoll are forward-looking statements involving risks and uncertainties that can cause actual results to differ materially from those in such forward-looking statements. Potential risks and uncertainties include, but are not limited to, the risks that the AHFIRM trial of larsucosterol in AH takes longer to conduct than anticipated due to COVID-19 or other factors, the risk that ongoing and future clinical trials of larsucosterol do not confirm the results from earlier clinical or pre-clinical trials, or do not demonstrate the safety or efficacy or the life-saving potential of larsucosterol in a statistically significant manner, risks that Innocoll may not commercialize POSIMIR successfully, if at all, and risks related to our ability to obtain capital to fund operations and expenses. Further information regarding these and other risks is included in DURECT's annual report on Form 10-K filed on March 8, 2022 with the Securities and Exchange Commission under the heading "Risk Factors." The 10-K and other public filings are available on our website www.durect.com under the "Investors" tab.
NOTE: POSIMIR® is a trademark of Innocoll Pharmaceuticals, Ltd. in the U.S. and a trademark of DURECT Corporation outside of the U.S. SABER® is a trademark of DURECT Corporation. Other referenced trademarks belong to their respective owners. Larsucosterol (DUR-928) is an investigational drug candidate under development and has not been approved for commercialization by the U.S. Food and Drug Administration or other health authorities for any indication.
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SOURCE DURECT Corporation | https://www.whsv.com/prnewswire/2022/04/27/durect-corporation-announce-first-quarter-2022-financial-results-provide-business-update-may-4/ | 2022-04-27T20:53:32Z |
PITTSBURGH, April 27, 2022 /PRNewswire/ -- EQT Corporation (NYSE: EQT) today announced financial and operational results for the first quarter 2022.
First Quarter 2022 Highlights:
- Sales volumes of 492 Bcfe
- Total per unit operating costs of $1.33 per Mcfe
- Capital expenditures of $310 MM or $0.63 per Mcfe
- Net cash provided by operating activities of $1,021 MM; free cash flow(1) of $580 MM
- Achieved investment grade credit ratings from Fitch and S&P
- Repaid $569 MM of 2022 senior notes
- Repurchased 8.5 MM shares for $200 MM; 9.9 MM shares repurchased to date
- Total shareholder returns of $816 MM via debt repayment, share buybacks and dividend
President and CEO Toby Rice stated, "We achieved several significant milestones during the first quarter, including attaining investment grade credit ratings, paying down all of our 2022 senior note maturities, repurchasing a significant amount of shares under our buyback authorization and returning cash to our shareholders through our recently instated base dividend. Given the positive fundamental backdrop for natural gas prices, we are raising the mid-point of our 2022 free cash flow(1) outlook by approximately 50% to $2.35 billion."
Rice continued, "We also unveiled our Unleash U.S. LNG plan, which has been met with resoundingly positive feedback from our stakeholders. Growing U.S. LNG exports is the largest green initiative on the planet, with the ability to lower emissions at a rate equal to the combined impact of every domestic mainstream green solution while providing energy security to the world. EQT is uniquely positioned to play a key role in meeting global energy demand growth as the largest natural gas producer in the U.S. with an investment grade balance sheet, multi-decade inventory and a leading emissions profile. We have made additional progress on our ESG strategy this year and feel confident in our ability to achieve our emissions reduction goals by or before 2025. We will continue to demonstrate stewardship in delivering a sustainable energy source that meets the world's growing energy demands with affordable, reliable and clean natural gas."
First Quarter 2022 Financial and Operational Performance
Sales volume growth reflects the Company's 2021 acquisition of Alta Resources (the Alta Acquisition). Average realized price increased for the three months ended March 31, 2022 compared to the same period in 2021 due to higher NYMEX prices and higher liquids prices, partly offset by lower cash settled derivatives and unfavorable differential.
Capital expenditures were $310 million, or $0.63 per Mcfe for the first quarter of 2022. The Company believes that total capital expenditures on a per Mcfe basis is an important measure of capital efficiency.
In 2022, the Company expects total sales volume of 1,950 - 2,050 Bcfe under a maintenance production program and expects capital expenditures of $1.300 - $1.450 billion, or $0.65 - $0.75 per Mcfe, excluding capital expenditures attributable to noncontrolling interests. During 2022, the Company plans to start phasing in its next generation well design that has been under development for the past year, which, based on initial results as part of its methodical science program, the Company believes has a high probability of further improving well productivity and rates of return across its asset base. Given the time required to develop wells that are part of the Company's large-scale combo-development model and the planned phased deployment of the new well design, the Company expects to have preliminary results of its investment by the end of 2022 and full visibility by late 2023 into early 2024.
Per Unit Operating Costs
The following presents certain of the Company's production-related operating costs on a per unit basis.
Gathering expense decreased on a per Mcfe basis for the three months ended March 31, 2022 compared to the same period in 2021 due primarily to the lower gathering rate structure on the assets acquired in the Alta Acquisition.
SG&A expense increased on a per Mcfe basis for the three months ended March 31, 2022 compared to the same period in 2021 due primarily to higher long-term incentive compensation costs as a result of changes in the fair value of awards due to the increase in the price per share of the Company's common stock and higher litigation expense.
Liquidity
As of March 31, 2022, the Company had $26 million in credit facility borrowings and $425 million of letters of credit outstanding under its $2.5 billion credit facility.
As of March 31, 2022, total debt was $5.1 billion and net debt(1) was $5.0 billion, compared to $5.6 billion and $5.5 billion, respectively, as of December 31, 2021. During the first quarter of 2022, the Company made significant progress towards its deleveraging goals of reducing total debt by at least $1.5 billion by the end of 2023. The Company repaid all of its outstanding 2022 senior notes and reduced total debt and net debt(1) by $0.5 billion compared to December 31, 2021.
2022 GUIDANCE
Based on NYMEX natural gas price of $6.16 per MMbtu as of April 22, 2022.
First Quarter 2022 Earnings Webcast Information
The Company's conference call with securities analysts begins at 10:00 a.m. ET on Thursday April 28, 2022 and will be broadcast live via the Company's web site at www.eqt.com and on the investor information page of the Company's web site at ir.eqt.com, with a replay available for seven days following the call.
HEDGING (as of April 22, 2022)
The following table summarizes the approximate volume and prices of the Company's NYMEX hedge positions. The difference between the fixed price and NYMEX price is included in average differential presented in the Company's price reconciliation.
For 2022 (April 1 through December 31), 2023 and 2024, the Company has natural gas sales agreements for approximately 14 MMDth, 88 MMDth and 11 MMDth, respectively, that include average NYMEX ceiling prices of $3.17, $2.84 and $3.21, respectively.
The Company entered into 455 MMDth per day of NYMEX swaps at a weighted average price of $6.05 that offset existing NYMEX swaps related to the first quarter of 2023 with a weighted average price of $2.53. These positions have been excluded from the table above.
The Company has also entered into transactions to hedge basis. The Company may use other contractual agreements from time to time to implement its commodity hedging strategy.
NON-GAAP DISCLOSURES
Adjusted Net Income Attributable to EQT and Adjusted Earnings per Diluted Share (Adjusted EPS)
Adjusted net income attributable to EQT is defined as net loss attributable to EQT Corporation, excluding gain on sale/exchange of long-lived assets, impairments, the revenue impact of changes in the fair value of derivative instruments prior to settlement and certain other items that impact comparability between periods. Adjusted EPS is defined as adjusted net income attributable to EQT divided by diluted weighted average common shares outstanding. Adjusted net income attributable to EQT and adjusted EPS are non-GAAP supplemental financial measures used by the Company's management to evaluate period-over-period earnings trends. The Company's management believes that these measures provide useful information to external users of the Company's consolidated financial statements, such as industry analysts, lenders and ratings agencies. Management uses adjusted net income attributable to EQT and adjusted EPS to evaluate earnings trends because the measures reflect only the impact of settled derivative contracts; thus, the measures exclude the often-volatile revenue impact of changes in the fair value of derivative instruments prior to settlement. These measures also exclude other items that affect the comparability of results or that are not indicative of trends in the ongoing business. Adjusted net income attributable to EQT and adjusted EPS should not be considered as alternatives to net loss attributable to EQT Corporation or diluted loss per share presented in accordance with GAAP.
The table below reconciles adjusted net income attributable to EQT and adjusted EPS with net loss attributable to EQT Corporation and diluted loss per share, respectively, the most comparable financial measures calculated in accordance with GAAP, each as derived from the Statements of Condensed Consolidated Operations to be included in the Company's Quarterly Report on Form 10-Q for the quarter ended March 31, 2022.
Adjusted EBITDA
Adjusted EBITDA is defined as net loss, excluding interest expense, income tax benefit, depreciation and depletion, gain on sale/exchange of long-lived assets, impairments, the revenue impact of changes in the fair value of derivative instruments prior to settlement and certain other items that impact comparability between periods. Adjusted EBITDA is a non-GAAP supplemental financial measure used by the Company's management to evaluate period-over-period earnings trends. The Company's management believes that this measure provides useful information to external users of the Company's consolidated financial statements, such as industry analysts, lenders and ratings agencies. Management uses adjusted EBITDA to evaluate earnings trends because the measure reflects only the impact of settled derivative contracts; thus, the measure excludes the often-volatile revenue impact of changes in the fair value of derivative instruments prior to settlement. The measure also excludes other items that affect the comparability of results or that are not indicative of trends in the ongoing business. Adjusted EBITDA should not be considered as an alternative to net loss presented in accordance with GAAP.
The table below reconciles adjusted EBITDA with net loss, the most comparable financial measure as calculated in accordance with GAAP, as reported in the Statements of Condensed Consolidated Operations to be included in the Company's Quarterly Report on Form 10-Q for the quarter ended March 31, 2022.
The Company has not provided projected net income (loss) or a reconciliation of projected adjusted EBITDA to projected net income (loss), the most comparable financial measure calculated in accordance with GAAP. Net income (loss) includes the impact of depreciation and depletion expense, income tax (benefit) expense, the revenue impact of changes in the projected fair value of derivative instruments prior to settlement and certain other items that impact comparability between periods and the tax effect of such items, which may be significant and difficult to project with a reasonable degree of accuracy. Therefore, projected net income (loss), and a reconciliation of projected adjusted EBITDA to projected net income (loss), are not available without unreasonable effort.
Adjusted Operating Cash Flow and Free Cash Flow
Adjusted operating cash flow is defined as net cash provided by operating activities less changes in other assets and liabilities. Free cash flow is defined as adjusted operating cash flow less accrual-based capital expenditures, excluding capital expenditures attributable to noncontrolling interests. Adjusted operating cash flow and free cash flow are non-GAAP supplemental financial measures used by the Company's management to assess liquidity, including the Company's ability to generate cash flow in excess of its capital requirements and return cash to shareholders. The Company's management believes that these measures provide useful information to external users of the Company's consolidated financial statements, such as industry analysts, lenders and ratings agencies. Adjusted operating cash flow and free cash flow should not be considered as alternatives to net cash provided by operating activities or any other measure of liquidity presented in accordance with GAAP.
The table below reconciles adjusted operating cash flow and free cash flow with net cash provided by operating activities, the most comparable financial measure calculated in accordance with GAAP, as derived from the Statements of Condensed Consolidated Cash Flows to be included in the Company's Quarterly Report on Form 10-Q for the quarter ended March 31, 2022.
The Company has not provided projected net cash provided by operating activities or reconciliations of projected adjusted operating cash flow and free cash flow to projected net cash provided by operating activities, the most comparable financial measure calculated in accordance with GAAP. The Company is unable to project net cash provided by operating activities for any future period because this metric includes the impact of changes in operating assets and liabilities related to the timing of cash receipts and disbursements that may not relate to the period in which the operating activities occurred. The Company is unable to project these timing differences with any reasonable degree of accuracy without unreasonable efforts such as predicting the timing of its payments and its customers' payments, with accuracy to a specific day, months in advance. Furthermore, the Company does not provide guidance with respect to its average realized price, among other items, that impact reconciling items between net cash provided by operating activities and adjusted operating cash flow and free cash flow, as applicable. Natural gas prices are volatile and out of the Company's control, and the timing of transactions and the income tax effects of future transactions and other items are difficult to accurately predict. Therefore, the Company is unable to provide projected net cash provided by operating activities, or the related reconciliations of projected adjusted operating cash flow and free cash flow to projected net cash provided by operating activities, without unreasonable effort.
Adjusted EBITDA to Free Cash Flow Reconciliation
The table below reconciles adjusted EBITDA to free cash flow.
Adjusted Operating Revenues
Adjusted operating revenues is defined as total operating revenues, less the revenue impact of changes in the fair value of derivative instruments prior to settlement and net marketing services and other revenues. Adjusted operating revenues (also referred to as total natural gas and liquids sales, including cash settled derivatives) is a non-GAAP supplemental financial measure used by the Company's management to evaluate period-over-period earnings trends. The Company's management believes that this measure provides useful information to external users of the Company's consolidated financial statements, such as industry analysts, lenders and ratings agencies. Management uses adjusted operating revenues to evaluate earnings trends because the measure reflects only the impact of settled derivative contracts; thus, the measure excludes the often-volatile revenue impact of changes in the fair value of derivative instruments prior to settlement. The measure also excludes net marketing services and other revenues because it is unrelated to the revenue for the Company's natural gas and liquids production. Adjusted operating revenues should not be considered as an alternative to total operating revenues presented in accordance with GAAP.
The table below reconciles adjusted operating revenues to total operating revenues, the most comparable financial measure calculated in accordance with GAAP, as reported in the Statements of Condensed Consolidated Operations to be included in the Company's Quarterly Report on Form 10-Q for the quarter ended March 31, 2022.
Net Debt
Net debt is defined as total debt less cash and cash equivalents. Total debt includes the Company's current portion of debt, credit facility borrowings, senior notes and note payable to EQM Midstream Partners, LP. Net debt is a non-GAAP supplemental financial measure used by the Company's management to evaluate leverage since the Company could choose to use its cash and cash equivalents to retire debt. The Company's management believes that this measure provides useful information to external users of the Company's consolidated financial statements, such as industry analysts, lenders and ratings agencies. Net debt should not be considered as an alternative to total debt presented in accordance with GAAP.
The table below reconciles net debt with total debt, the most comparable financial measure calculated in accordance with GAAP, as derived from the Statements of Condensed Consolidated Balance Sheets to be included in the Company's Quarterly Report on Form 10-Q for the quarter ended March 31, 2022.
Investor Contact:
Cameron Horwitz
Managing Director, Investor Relations & Strategy
412.395.2555
cameron.horwitz@eqt.com
About EQT Corporation
EQT Corporation is a leading independent natural gas production company with operations focused in the cores of the Marcellus and Utica Shales in the Appalachian Basin. We are dedicated to responsibly developing our world-class asset base and being the operator of choice for our stakeholders. By leveraging a culture that prioritizes operational efficiency, technology and sustainability, we seek to continuously improve the way we produce environmentally responsible, reliable and low-cost energy. We have a longstanding commitment to the safety of our employees, contractors, and communities, and to the reduction of our overall environmental footprint. Our values are evident in the way we operate and in how we interact each day – trust, teamwork, heart, and evolution are at the center of all we do.
EQT Management speaks to investors from time to time and the analyst presentation for these discussions, which is updated periodically, is available via EQT's investor relations website at https://ir.eqt.com.
Cautionary Statements
This news release contains certain forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended. Statements that do not relate strictly to historical or current facts are forward-looking. Without limiting the generality of the foregoing, forward-looking statements contained in this news release specifically include the expectations of plans, strategies, objectives and growth and anticipated financial and operational performance of EQT Corporation and its subsidiaries (collectively, the Company), including guidance regarding the Company's strategy to develop its reserves; drilling plans and programs (including the number and type of drilling rigs and the number of frac crews to be utilized by the Company); projected natural gas prices, basis and average differential; the impact of commodity prices on the Company's business; total resource potential; projected production and sales volume and growth rates; projected well costs and unit costs; the timing of implementation of the Company's new well design and the projected benefits thereof; the Company's ability to successfully implement and execute its operational, organizational, technological and environmental, social and governance (ESG) initiatives, including the projected timing of achieving its emissions reduction goals, and the Company's ability to achieve the anticipated results of such initiatives; the amount and timing of any redemptions, repayments or repurchases of the Company's common stock, outstanding debt securities or other debt instruments; the Company's ability to reduce its debt and the timing of such reductions, if any; projected dividends, if any; projected free cash flow, adjusted operating cash flow, and adjusted EBITDA; liquidity and financing requirements, including funding sources and availability; the Company's ability to maintain or improve its credit ratings, leverage levels and financial profile, and the timing of achieving such improvements, if at all; the Company's hedging strategy and projected margin posting obligations; the Company's tax position and projected effective tax rate; and the expected impact of changes in laws.
The forward-looking statements included in this news release involve risks and uncertainties that could cause actual results to differ materially from projected results. Accordingly, investors should not place undue reliance on forward-looking statements as a prediction of actual results. The Company has based these forward-looking statements on current expectations and assumptions about future events, taking into account all information currently known by the Company. While the Company considers these expectations and assumptions to be reasonable, they are inherently subject to significant business, economic, competitive, regulatory and other risks and uncertainties, many of which are difficult to predict and beyond the Company's control. These risks and uncertainties include, but are not limited to, volatility of commodity prices; the costs and results of drilling and operations; uncertainties about estimates of reserves, identification of drilling locations and the ability to add proved reserves in the future; the assumptions underlying production forecasts; the quality of technical data; the Company's ability to appropriately allocate capital and resources among its strategic opportunities; access to and cost of capital; the Company's hedging and other financial contracts; inherent hazards and risks normally incidental to drilling for, producing, transporting and storing natural gas, natural gas liquids (NGLs) and oil; cyber security risks; availability and cost of drilling rigs, completion services, equipment, supplies, personnel, oilfield services and water required to execute the Company's exploration and development plans, including as a result of the COVID-19 pandemic; risks associated with operating primarily in the Appalachian Basin and obtaining a substantial amount of the Company's midstream services from Equitrans Midstream Corporation; the ability to obtain environmental and other permits and the timing thereof; government regulation or action, including regulations pertaining to methane and other greenhouse gas emissions; negative public perception of the fossil fuels industry; increased consumer demand for alternatives to natural gas; environmental and weather risks, including the possible impacts of climate change; and disruptions to the Company's business due to acquisitions and other significant transactions. These and other risks are described under Item 1A, "Risk Factors," and elsewhere in the Company's Annual Report on Form 10-K for the year ended December 31, 2021 and other documents the Company files from time to time with the Securities and Exchange Commission. In addition, the Company may be subject to currently unforeseen risks that may have a materially adverse impact on it.
Any forward-looking statement speaks only as of the date on which such statement is made, and the Company does not intend to correct or update any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by law.
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SOURCE EQT Corporation (EQT-IR) | https://www.whsv.com/prnewswire/2022/04/27/eqt-reports-first-quarter-2022-results/ | 2022-04-27T20:53:38Z |
REDWOOD CITY, Calif., April 27, 2022 /PRNewswire/ -- Equinix, Inc. (Nasdaq: EQIX), the world's digital infrastructure company™, today announced that its board of directors has declared a quarterly cash dividend of $3.10 per share on its common stock. The quarterly common stock dividend will be paid on June 15, 2022 to shareholders of record on May 18, 2022.
About Equinix
Equinix (Nasdaq: EQIX) is the world's digital infrastructure company, enabling digital leaders to harness a trusted platform to bring together and interconnect the foundational infrastructure that powers their success. Equinix enables today's businesses to access all the right places, partners and possibilities they need to accelerate advantage. With Equinix, they can scale with agility, speed the launch of digital services, deliver world-class experiences and multiply their value.
Forward-Looking Statements
This press release contains forward-looking statements related to the amount and timing of payment of cash dividends on shares of our common stock that involve risks and uncertainties. Actual results may differ materially from expectations discussed in such forward-looking statements. Factors that might cause such differences include the risks and uncertainties described from time to time in Equinix filings with the Securities and Exchange Commission. In particular, see recent Equinix quarterly and annual reports filed with the Securities and Exchange Commission, copies of which are available upon request from Equinix. Equinix does not assume any obligation to update the forward-looking information contained in this press release.
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SOURCE Equinix, Inc. | https://www.whsv.com/prnewswire/2022/04/27/equinix-declares-quarterly-dividend-its-common-stock/ | 2022-04-27T20:53:45Z |
REDWOOD CITY, Calif., April 27, 2022 /PRNewswire/ --
- Quarterly revenues increased 9% over the same quarter last year to $1.7 billion, or 10% on a normalized and constant currency basis, representing the company's 77th consecutive quarter of revenue growth
- More than 4,200 deals executed in the quarter across more than 3,100 customers
- Strong quarter for Equinix Metal® and Network Edge digital services offerings
- Global platform expansion continued with 43 projects underway across 29 metros in 20 countries, including new projects in the Atlanta, Mumbai, Sydney, Tokyo and Washington, D.C. metros
Equinix, Inc. (Nasdaq: EQIX), the world's digital infrastructure companyTM, today reported results for the quarter ended March 31, 2022. Equinix uses certain non-GAAP financial measures, which are described further below and reconciled to the most comparable GAAP financial measures after the presentation of our GAAP financial statements. All per share results are presented on a fully diluted basis.
First Quarter 2022 Results Summary
- Revenues
- Operating Income
- Adjusted EBITDA
- Net Income and Net Income per Share attributable to Equinix
- AFFO and AFFO per Share
2022 Annual Guidance Summary
- Revenues
- Adjusted EBITDA
- AFFO and AFFO per Share
Equinix does not provide forward-looking guidance for certain financial data, such as depreciation, amortization, accretion, stock-based compensation, net income (loss) from operations, cash generated from operating activities and cash used in investing activities, and as a result, is not able to provide a reconciliation of GAAP to non-GAAP financial measures for forward-looking data without unreasonable effort. The impact of such adjustments could be significant.
Equinix Quote
Charles Meyers, President and CEO, Equinix:
"We had a great start to 2022. While there are a number of macroeconomic factors we continue to proactively manage, the business continues to perform exceptionally well. Underlying demand for digital infrastructure continues to rise as enterprises in diverse sectors across the globe prioritize digital transformation and service providers continue to innovate, distribute and scale their infrastructure globally in response to that demand."
Business Highlights
- Equinix continued to expand its global platform, which currently includes more than 240 data centers across 69 metros in 30 countries. As of Q1, 89% of revenues are generated from customers deployed in more than one metro, demonstrating the strategic value of Equinix's global footprint. Specific initiatives included:
- The Equinix digital services portfolio had a strong quarter with the most net customer adds for Equinix Metal since its launch. Similarly, Equinix FabricTM added the most quarterly virtual connections ever. At the same time, customers continued to consume Equinix's data center and colocation services with the addition of an incremental 8,900 total interconnections in the quarter, bringing the total interconnections on Equinix's platform to 428,200.
- Equinix continued to make advances in meeting its environmental sustainability commitments, including its goal of climate-neutral operations by 2030:
- Key leadership appointments included the internal promotion of three Equinix leaders: Jon Lin to EVP & General Manager, Data Center Services; Nicole Collins to Chief Transformation Officer; and Tara Risser to President, Americas.
Business Outlook
For the second quarter of 2022, the Company expects revenues to range between $1.809 and $1.829 billion, a 4 - 5% increase over the prior quarter, or 3 - 4% on a normalized and constant currency basis. This guidance includes a positive $8 million foreign currency benefit when compared to the average FX rates in Q1 2022. Adjusted EBITDA is expected to range between $828 and $848 million. Adjusted EBITDA includes a positive $4 million foreign currency benefit when compared to the average FX rates in Q1 2022 and $7 million of integration costs from acquisitions. Recurring capital expenditures are expected to range between $33 and $43 million.
For the full year of 2022, total revenues are expected to range between $7.291 and $7.341 billion, a 10 - 11% increase over the previous year, or a normalized and constant currency increase of approximately 10%. This updated increase in full-year guidance of $89 million includes $42 million of better-than-expected business performance, $50 million from the MainOne acquisition and a negative $3 million foreign currency impact when compared to the prior guidance rates. Adjusted EBITDA is expected to range between $3.344 and $3.374 billion, an adjusted EBITDA margin of 46%. This updated increase in full-year guidance of $42 million, excluding integration costs, includes $20 million of better-than-expected business performance, $20 million from the MainOne acquisition and a positive $2 million foreign currency benefit when compared to the prior guidance rates. For the year, the Company now expects to incur $25 million in integration costs related to acquisitions. AFFO is expected to range between $2.650 and $2.680 billion, an increase of 8 - 9% over the previous year, or a normalized and constant currency increase of 8 - 10%. This updated AFFO guidance of $9 million, excluding integration costs, includes $22 million of better-than-expected business performance and $9 million from the MainOne acquisition, partially offset by $22 million of incremental debt financing costs. AFFO per share is expected to range between $28.93 and $29.26, an increase of 7- 8% over the previous year, on both an as-reported and normalized and constant currency basis. Total capital expenditures are expected to range between $2.265 and $2.515 billion. Non-recurring capital expenditures, including xScale-related capital expenditures, are expected to range between $2.097 and $2.337 billion, and recurring capital expenditures are expected to range between $168 and $178 million. xScale-related on-balance sheet capital expenditures are expected to range between $37 and $87 million, which we anticipate will be reimbursed to Equinix from both the current and future xScale JVs.
The U.S. dollar exchange rates used for 2022 guidance, taking into consideration the impact of our current foreign currency hedges, have been updated to $1.15 to the Euro, $1.32 to the Pound, S$1.36 to the U.S. dollar, ¥122 to the U.S. dollar, and R$4.74 to the U.S. dollar. The Q1 2022 global revenue breakdown by currency for the Euro, British Pound, Singapore Dollar, Japanese Yen and Brazilian Real is 19%, 9%, 8%, 6% and 3%, respectively.
The adjusted EBITDA guidance is based on the revenue guidance less our expectations of cash cost of revenues and cash operating expenses. The AFFO guidance is based on the adjusted EBITDA guidance less our expectations of net interest expense, an installation revenue adjustment, a straight-line rent expense adjustment, a contract cost adjustment, amortization of deferred financing costs and debt discounts and premiums, income tax expense, an income tax expense adjustment, recurring capital expenditures, other income (expense), (gains) losses on disposition of real estate property, and adjustments for unconsolidated joint ventures' and non-controlling interests' share of these items.
Q1 2022 Results Conference Call and Replay Information
Equinix will discuss its quarterly results for the period ended March 31, 2022, along with its future outlook, in its quarterly conference call on Wednesday, April 27, 2022, at 5:30 p.m. ET (2:30 p.m. PT). A simultaneous live webcast of the call will be available on the company's Investor Relations website at www.equinix.com/investors. To hear the conference call live, please dial 1-517-308-9482 (domestic and international) and reference the passcode EQIX.
A replay of the call will be available one hour after the call through Wednesday, July 27, 2022, by dialing 1-866-357-4208 and referencing the passcode 2022. In addition, the webcast will be available at www.equinix.com/investors (no password required).
Investor Presentation and Supplemental Financial Information
Equinix has made available on its website a presentation designed to accompany the discussion of Equinix's results and future outlook, along with certain supplemental financial information and other data. Interested parties may access this information through the Equinix Investor Relations website at www.equinix.com/investors.
Additional Resources
About Equinix
Equinix (Nasdaq: EQIX) is the world's digital infrastructure company, enabling digital leaders to harness a trusted platform to bring together and interconnect the foundational infrastructure that powers their success. Equinix enables today's businesses to access all the right places, partners and possibilities they need to accelerate advantage. With Equinix, they can scale with agility, speed the launch of digital services, deliver world-class experiences and multiply their value.
Non-GAAP Financial Measures
Equinix provides all information required in accordance with generally accepted accounting principles ("GAAP"), but it believes that evaluating its ongoing operating results may be difficult if limited to reviewing only GAAP financial measures. Accordingly, Equinix uses non-GAAP financial measures to evaluate its operations.
Equinix provides normalized and constant currency growth rates, which are calculated to adjust for acquisitions, dispositions, integration costs, changes in accounting principles and foreign currency.
Equinix presents adjusted EBITDA, which is a non-GAAP financial measure. Adjusted EBITDA represents income from operations excluding depreciation, amortization, accretion, stock-based compensation expense, restructuring charges, impairment charges, transaction costs and gain or loss on asset sales.
In presenting non-GAAP financial measures, such as adjusted EBITDA, cash cost of revenues, cash gross margins, cash operating expenses (also known as cash selling, general and administrative expenses or cash SG&A), adjusted EBITDA margins, free cash flow and adjusted free cash flow, Equinix excludes certain items that it believes are not good indicators of Equinix's current or future operating performance. These items are depreciation, amortization, accretion of asset retirement obligations and accrued restructuring charges, stock-based compensation, restructuring charges, impairment charges, transaction costs and gain or loss on asset sales. Equinix excludes these items in order for its lenders, investors and the industry analysts who review and report on Equinix to better evaluate Equinix's operating performance and cash spending levels relative to its industry sector and competitors.
Equinix excludes depreciation expense as these charges primarily relate to the initial construction costs of a data center, and do not reflect its current or future cash spending levels to support its business. Its data centers are long-lived assets, and have an economic life greater than 10 years. The construction costs of a data center do not recur with respect to such data center, although Equinix may incur initial construction costs in future periods with respect to additional data centers, and future capital expenditures remain minor relative to the initial investment. This is a trend it expects to continue. In addition, depreciation is also based on the estimated useful lives of the data centers. These estimates could vary from actual performance of the asset, are based on historic costs incurred to build out our data centers and are not indicative of current or expected future capital expenditures. Therefore, Equinix excludes depreciation from its operating results when evaluating its operations.
In addition, in presenting the non-GAAP financial measures, Equinix also excludes amortization expense related to acquired intangible assets. Amortization expense is significantly affected by the timing and magnitude of acquisitions, and these charges may vary in amount from period to period. We exclude amortization expense to facilitate a more meaningful evaluation of our current operating performance and comparisons to our prior periods. Equinix excludes accretion expense, both as it relates to its asset retirement obligations as well as its accrued restructuring charges, as these expenses represent costs which Equinix also believes are not meaningful in evaluating Equinix's current operations. Equinix excludes stock-based compensation expense, as it can vary significantly from period to period based on share price and the timing, size and nature of equity awards. As such, Equinix and many investors and analysts exclude stock-based compensation expense to compare its operating results with those of other companies. Equinix excludes restructuring charges from its non-GAAP financial measures. The restructuring charges relate to Equinix's decision to exit leases for excess space adjacent to several of its IBX data centers, which it did not intend to build out, or its decision to reverse such restructuring charges. Equinix also excludes impairment charges generally related to certain long-lived assets. The impairment charges are related to expense recognized whenever events or changes in circumstances indicate that the carrying amount of assets are not recoverable. Equinix also excludes gain or loss on asset sales as it represents profit or loss that is not meaningful in evaluating the current or future operating performance. Finally, Equinix excludes transaction costs from its non-GAAP financial measures to allow more comparable comparisons of the financial results to the historical operations. The transaction costs relate to costs Equinix incurs in connection with business combinations and formation of joint ventures, including advisory, legal, accounting, valuation and other professional or consulting fees. Such charges generally are not relevant to assessing the long-term performance of Equinix. In addition, the frequency and amount of such charges vary significantly based on the size and timing of the transactions. Management believes items such as restructuring charges, impairment charges, transaction costs and gain or loss on asset sales are non-core transactions; however, these types of costs may occur in future periods.
Equinix also presents funds from operations ("FFO") and adjusted funds from operations ("AFFO"), both commonly used in the REIT industry, as supplemental performance measures. Additionally, Equinix presents AFFO per share, which is also commonly used in the REIT industry. AFFO per share offers investors and industry analysts a perspective of Equinix's underlying operating performance when compared to other REIT companies. FFO is calculated in accordance with the definition established by the National Association of Real Estate Investment Trusts ("NAREIT"). FFO represents net income or loss, excluding gain or loss from the disposition of real estate assets, depreciation and amortization on real estate assets and adjustments for unconsolidated joint ventures' and non-controlling interests' share of these items. AFFO represents FFO, excluding depreciation and amortization expense on non-real estate assets, accretion, stock-based compensation, restructuring charges, impairment charges, transaction costs, an installation revenue adjustment, a straight-line rent expense adjustment, a contract cost adjustment, amortization of deferred financing costs and debt discounts and premiums, gain or loss on debt extinguishment, an income tax expense adjustment, recurring capital expenditures, net income or loss from discontinued operations, net of tax and adjustments from FFO to AFFO for unconsolidated joint ventures' and non-controlling interests' share of these items. Equinix excludes depreciation expense, amortization expense, accretion, stock-based compensation, restructuring charges, impairment charges and transaction costs for the same reasons that they are excluded from the other non-GAAP financial measures mentioned above.
Equinix includes an adjustment for revenues from installation fees, since installation fees are deferred and recognized ratably over the period of contract term, although the fees are generally paid in a lump sum upon installation. Equinix includes an adjustment for straight-line rent expense on its operating leases, since the total minimum lease payments are recognized ratably over the lease term, although the lease payments generally increase over the lease term. Equinix also includes an adjustment to contract costs incurred to obtain contracts, since contract costs are capitalized and amortized over the estimated period of benefit on a straight-line basis, although costs of obtaining contracts are generally incurred and paid during the period of obtaining the contracts. The adjustments for installation revenues, straight-line rent expense and contract costs are intended to isolate the cash activity included within the straight-lined or amortized results in the consolidated statement of operations. Equinix excludes the amortization of deferred financing costs and debt discounts and premiums as these expenses relate to the initial costs incurred in connection with its debt financings that have no current or future cash obligations. Equinix excludes gain or loss on debt extinguishment since it represents a cost that is not a good indicator of Equinix's current or future operating performance. Equinix includes an income tax expense adjustment, which represents the non-cash tax impact due to changes in valuation allowances and uncertain tax positions that do not relate to the current period's operations. Equinix excludes recurring capital expenditures, which represent expenditures to extend the useful life of its IBX and xScale data centers or other assets that are required to support current revenues. Equinix also excludes net income or loss from discontinued operations, net of tax, which represents results that are not a good indicator of our current or future operating performance.
Equinix presents constant currency results of operations, which is a non-GAAP financial measure and is not meant to be considered in isolation or as an alternative to GAAP results of operations. However, Equinix has presented this non-GAAP financial measure to provide investors with an additional tool to evaluate its operating results without the impact of fluctuations in foreign currency exchange rates, thereby facilitating period-to-period comparisons of Equinix's business performance. To present this information, Equinix's current and comparative prior period revenues and certain operating expenses from entities with functional currencies other than the U.S. dollar are converted into U.S. dollars at a consistent exchange rate for purposes of each result being compared.
Non-GAAP financial measures are not a substitute for financial information prepared in accordance with GAAP. Non-GAAP financial measures should not be considered in isolation, but should be considered together with the most directly comparable GAAP financial measures and the reconciliation of the non-GAAP financial measures to the most directly comparable GAAP financial measures. Equinix presents such non-GAAP financial measures to provide investors with an additional tool to evaluate its operating results in a manner that focuses on what management believes to be its core, ongoing business operations. Management believes that the inclusion of these non-GAAP financial measures provides consistency and comparability with past reports and provides a better understanding of the overall performance of the business and its ability to perform in subsequent periods. Equinix believes that if it did not provide such non-GAAP financial information, investors would not have all the necessary data to analyze Equinix effectively.
Investors should note that the non-GAAP financial measures used by Equinix may not be the same non-GAAP financial measures, and may not be calculated in the same manner, as those of other companies. Investors should, therefore, exercise caution when comparing non-GAAP financial measures used by us to similarly titled non-GAAP financial measures of other companies. Equinix does not provide forward-looking guidance for certain financial data, such as depreciation, amortization, accretion, stock-based compensation, net income or loss from operations, cash generated from operating activities and cash used in investing activities, and as a result, is not able to provide a reconciliation of GAAP to non-GAAP financial measures for forward-looking data without unreasonable effort. The impact of such adjustments could be significant. Equinix intends to calculate the various non-GAAP financial measures in future periods consistent with how they were calculated for the periods presented within this press release.
Forward-Looking Statements
This press release contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially from expectations discussed in such forward-looking statements. Factors that might cause such differences include, but are not limited to, risks to our business and operating results related to the ongoing COVID-19 pandemic; the current inflationary environment; increased costs to procure power and the general volatility in the global energy market; the challenges of acquiring, operating and constructing IBX and xScale data centers and developing, deploying and delivering Equinix products and solutions; unanticipated costs or difficulties relating to the integration of companies we have acquired or will acquire into Equinix; a failure to receive significant revenues from customers in recently built out or acquired data centers; failure to complete any financing arrangements contemplated from time to time; competition from existing and new competitors; the ability to generate sufficient cash flow or otherwise obtain funds to repay new or outstanding indebtedness; the loss or decline in business from our key customers; risks related to our taxation as a REIT and other risks described from time to time in Equinix filings with the Securities and Exchange Commission. In particular, see recent and upcoming Equinix quarterly and annual reports filed with the Securities and Exchange Commission, copies of which are available upon request from Equinix. Equinix does not assume any obligation to update the forward-looking information contained in this press release.
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LAKE MARY, Fla., April 27, 2022 /PRNewswire/ -- FARO® Technologies, Inc. (Nasdaq: FARO), a global leader in 4D digital reality solutions, today announced its financial results for the first quarter ended March 31, 2022.
"First quarter revenue came in below expectations as the Chinese government's mandated COVID lockdown in Shanghai prevented shipments from our lone Chinese logistics center at the end of March. Additionally, ongoing supply chain shortages and softer than expected demand in the AEC market further impacted our Q1 revenue," stated Michael Burger, President and Chief Executive Officer. "With the launch of our new Focus Premium Laser Scanner in April and the Quantum Max FaroArm in the second half of 2021, we have refreshed three quarters of FARO's hardware revenue which positions us very well competitively."
Mr. Burger continued, "Our focus remains on providing the market increasing levels of analytics, insights and value from 3D models captured by FARO's hardware products and accessed through FARO Sphere, our recently announced cloud-based environment. While the ongoing uncertainties in the market create risks to near-term results, the long-term opportunity for FARO remains as exciting as ever. Our high accuracy expertise and focus on enabling customers to efficiently and easily manage their assets virtually, positions us well to capitalize on the massive potential of the digital reality market."
First Quarter 2022 Financial Summary
- Total sales of $76.7 million, in line with the prior year period
- Software sales, of $10.3M or 13% of revenue remained in line with the prior year period
- Recurring revenue of $16.5M or 21.5% of sales was up 6.5% compared to the prior year period
- Gross margin of 53.5%, compared to 52.9% in the prior year period
- Non-GAAP gross margin of 53.8%, compared to 53.0% in the prior year period
- Operating expenses of $48.2 million, compared to $46.8 million in the prior year period
- Non-GAAP operating expenses of $44.2 million, compared to $42.8 million in the prior year period
- Net loss of $9.7 million, or ($0.53) per share compared to $3.2 million, or ($0.18) per share in the prior year period
- Non-GAAP net loss of $2.5 million, or ($0.14) per share compared to $0.6 million, or ($0.03) per share in the prior year period
- Adjusted EBITDA of ($0.7) million, or (0.9%) of total sales compared to $0.4 million, or 0.5% of total sales in the prior year period
- Cash and short-term investments of $107.2 million, compared to $122.0 million as of December 31, 2021
* A reconciliation of the non-GAAP financial measures to the most directly comparable GAAP financial measures is provided in the financial schedules portion at the end of this press release. An additional explanation of these measures is included below under the heading "Non-GAAP Financial Measures".
Outlook for the Second Quarter 2022
For the second quarter ending June 30, 2022, FARO currently expects:
- Revenue in the range of $77 to $85 million
- Non-GAAP (loss) earnings per share in the range of ($0.17) to $0.04
Conference Call
The Company will host a conference call to discuss these results on Wednesday, April 27, 2022 at 5:00 p.m. ET. Interested parties can access the conference call by dialing (866) 518-6930 (U.S.) or +1 (203) 518-9797 (International) and using the passcode FARO. A live webcast will be available in the Investor Relations section of FARO's website at: https://www.faro.com/en/About-Us/Investor-Relations/Financial-Events-and-Presentations
A replay webcast will be available in the Investor Relations section of the company's web site approximately two hours after the conclusion of the call and will remain available for approximately 30 calendar days.
About FARO
FARO serves the 3D Metrology, AEC (Architecture, Engineering & Construction), O&M (Facilities Operations & Maintenance), and Public Safety Analytics markets. For over 40 years, FARO has provided industry-leading technology solutions that enable customers to digitize their world, and then use that data to make smarter decisions faster. FARO continues to be a pioneer in bridging the digital and physical worlds through data-driven accuracy, precision, and immediacy. For more information, visit http://www.faro.com
Non-GAAP Financial Measures
This press release contains information about our financial results that are not presented in accordance with U.S. generally accepted accounting principles ("GAAP"). These non-GAAP financial measures, including non-GAAP gross profit, non-GAAP gross margin, non-GAAP operating expenses, non-GAAP loss from operations, non-GAAP net loss and non-GAAP net loss per share, exclude the impact of purchase accounting intangible amortization expense, stock-based compensation, restructuring charges, and other tax adjustments, and are provided to enhance investors' overall understanding of our historical operations and financial performance.
In addition, we present EBITDA, which is calculated as net loss before interest expense, net, income tax expense (benefit) and depreciation and amortization, and Adjusted EBITDA, which is calculated as EBITDA, excluding other income, net, stock-based compensation, and restructuring charges, as measures of our operating profitability. The most directly comparable GAAP measure to EBITDA and Adjusted EBITDA is net loss. We also present Adjusted EBITDA margin, which is calculated as Adjusted EBITDA as a percent of total sales.
Management believes that these non-GAAP financial measures provide investors with relevant period-to-period comparisons of our core operations using the same methodology that management employs in its review of the Company's operating results. These financial measures are not recognized terms under GAAP and should not be considered in isolation or as a substitute for a measure of financial performance prepared in accordance with GAAP.
These non-GAAP financial measures have limitations that should be considered before using these measures to evaluate a company's financial performance. These non-GAAP financial measures, as presented, may not be comparable to similarly titled measures of other companies due to varying methods of calculation. The financial statement tables that accompany this press release include a reconciliation of these non-GAAP financial measures to the most directly comparable GAAP financial measures.
Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that are subject to risks and uncertainties, such as statements about demand for and customer acceptance of FARO's products, FARO's product development and product launches, FARO's growth, strategic and restructuring plans and initiatives, including but not limited to the additional restructuring charges expected to be incurred in connection with our restructuring plan and the timing and amount of cost savings and other benefits expected to be realized from the restructuring plan and other strategic initiatives, and FARO's growth potential and profitability. Statements that are not historical facts or that describe the Company's plans, objectives, projections, expectations, assumptions, strategies, or goals are forward-looking statements. In addition, words such as "is," "will" and similar expressions or discussions of FARO's plans or other intentions identify forward-looking statements. Forward-looking statements are not guarantees of future performance and are subject to various known and unknown risks, uncertainties, and other factors that may cause actual results, performances, or achievements to differ materially from future results, performances, or achievements expressed or implied by such forward-looking statements. Consequently, undue reliance should not be placed on these forward-looking statements.
Factors that could cause actual results to differ materially from what is expressed or forecasted in such forward-looking statements include, but are not limited to:
- the Company's ability to realize the intended benefits of its undertaking to transition to a company that is reorganized around functions to improve the efficiency of its sales organization and to improve operational effectiveness;
- the Company's inability to successfully execute its new strategic plan and restructuring plan, including but not limited to additional impairment charges and/or higher than expected severance costs and exit costs, and its inability to realize the expected benefits of such plans;
- the outcome of the U.S. Government's review of, or investigation into, the GSA Matter; any resulting penalties, damages, or sanctions imposed on the Company and the outcome of any resulting litigation to which the Company may become a party; loss of future government sales; and potential impacts on customer and supplier relationships and the Company's reputation;
- development by others of new or improved products, processes or technologies that make the Company's products less competitive or obsolete;
- the Company's inability to maintain its technological advantage by developing new products and enhancing its existing products;
- declines or other adverse changes, or lack of improvement, in industries that the Company serves or the domestic and international economies in the regions of the world where the Company operates and other general economic, business, and financial conditions;
- the effect of the COVID-19 pandemic, including on our business operations, as well as its impact on general economic and financial market conditions;
- the impact of fluctuations in foreign exchange rates; and
- other risks detailed in Part I, Item 1A. Risk Factors in the Company's Annual Report on Form 10-K for the year ended December 31, 2021 that will be filed with the SEC following this earnings release.
Forward-looking statements in this release represent the Company's judgment as of the date of this release. The Company undertakes no obligation to update publicly any forward-looking statements, whether as a result of new information, future events, or otherwise, unless otherwise required by law.
(1) We exclude stock-based compensation, which is non-cash, from the non-GAAP financial measures because the Company believes that such exclusion provides a better comparison of results of ongoing operations for current and future periods with such results from past periods.
(2) On February 14, 2020, our Board of Directors approved a global restructuring plan (the "Restructuring Plan"), which is intended to support our strategic plan in an effort to improve operating performance and ensure that we are appropriately structured and resourced to deliver increased and sustainable value to our shareholders and customers. In connection with the Restructuring Plan, during the three months ended March 31, 2022 and March 31, 2021 we recorded a pre-tax charge of approximately $0.6 million and $1.5 million, respectively, primarily consisting of severance and related benefits.
(3) The other tax adjustments primarily relate to the impact of certain jurisdictions maintaining a full valuation allowance where benefit is not accrued on U.S. GAAP pre-tax book losses.
(1) On February 14, 2020, our Board of Directors approved a global restructuring plan (the "Restructuring Plan"), which is intended to support our strategic plan in an effort to improve operating performance and ensure that we are appropriately structured and resourced to deliver increased and sustainable value to our shareholders and customers. In connection with the Restructuring Plan, during the three months ended March 31, 2022 and March 31, 2021 we recorded a pre-tax charge of approximately $0.6 million and $1.5 million, respectively, primarily consisting of severance and related benefits.
(2) Calculated as Adjusted EBITDA as a percentage of total sales.
(1) Regions represent North America and South America (Americas); Europe, the Middle East, and Africa (EMEA); and the Asia-Pacific (APAC).
(2) Recurring revenue is comprised of hardware service contracts, software maintenance contracts, and subscription based software applications.
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SILVER SPRING, Md., April 27, 2022 /PRNewswire/ -- The U.S. Food and Drug Administration today issued draft action levels for lead in single-strength (ready to drink) apple juice and other single-strength juices and juice blends. This action is intended to reduce the potential for negative health effects from dietary exposure to lead, and supports the agency's Closer to Zero action plan that sets forth the FDA's science-based approach to reducing exposure to toxic elements in foods.
"Exposure of our most vulnerable populations, especially children, to elevated levels of toxic elements from foods is unacceptable," said FDA Commissioner Robert M. Califf, M.D. "This action to limit lead in juice represents an important step forward in advancing FDA's Closer to Zero action plan, which we are confident will have a lasting public health impact on current and future generations."
Today's draft guidance outlines action levels, which are recommended limits of lead in juice that can be achieved by industry and progressively lowered as appropriate.
In particular, Action Levels for Lead in Juice: Draft Guidance for Industry, provides draft action levels of 10 parts per billion (ppb) for lead in single-strength apple juice and of 20 ppb for lead in all other single-strength juice types, including juice blends that contain apple juice.
As part of its commitment in the Closer to Zero action plan to consider the biological effects from exposure to harmful elements in food, the draft action levels for lead in juice were guided by the FDA's interim reference level (IRL) for lead, a measure of the contribution of lead in food to blood lead levels. The FDA estimates that establishing a 10 ppb action level could result in as much as a 46% reduction in exposure to lead from apple juice in children. For all other fruit and vegetable juices, establishment of an action level of 20 ppb is estimated to result in a reduction of 19% in exposure to lead from all other juices in children. The FDA issued a lower draft action level for apple juice because it is the most commonly consumed juice that young children drink.
"As we outlined in the Closer to Zero action plan, the agency is increasing targeted compliance activities as part of our efforts to monitor levels of these elements in foods through the FDA's Total Diet Study, Toxic Elements in Food and Foodware program and sampling assignments," said Susan Mayne, Ph.D., director of the FDA's Center for Food Safety and Applied Nutrition. "In addition, our work in this important area of food safety will progress with advancements in science. For example, action levels may be progressively lowered over time, as appropriate, to make continual improvements in reducing the levels of lead, arsenic, cadmium and mercury in foods eaten by babies and young children."
The FDA is accepting comments on the draft guidance. A manufacturer may choose to implement the recommendations in a draft guidance before the guidance becomes final. The FDA will work with manufacturers of these products to encourage the adoption of best practices to lower levels of lead in juice. The FDA routinely monitors levels of toxic elements in food and considers on a case-by-case basis whether a food that contains a contaminant is adulterated under the Federal Food, Drug, and Cosmetic Act and subject to enforcement action.
Because lead is in the environment as a naturally occurring element and from consumer and industrial products and processes, it is not possible to remove it entirely from the food supply. However, the action levels recommended in the draft guidance document will help limit consumer exposure. The FDA recommends that for good nutrition, parents follow the Dietary Guidelines for Americans, which recommends limits on juice intake for children. Decreasing juice consumption would also reduce potential exposure to lead from juice. The Dietary Guidelines recommends that children should get at least half of their fruit needs each day from whole fruit rather than juice and that children under 12 months of age should not consume juice.
Issuing the draft guidance for lead in juice is part of the FDA's broader efforts to reduce exposure to lead, arsenic, mercury and cadmium from foods and to advance the goals laid out in the Closer to Zero action plan, initiated in April 2021. As it enters the second year of the Closer to Zero action plan, the FDA is working to identify reference levels for arsenic, cadmium and mercury, and to issue draft guidance to industry on action levels for lead in foods commonly eaten by babies and young children. We're also continuing to work towards issuing final guidance on an action level for inorganic arsenic in apple juice.
This action is part of the FDA's whole of government approach that includes working with federal partners, including the President's Task Force on Environmental Health Risks and Safety Risks to Children.
Additional Resources:
- Draft Guidance: Action Levels for Lead in Juice; Draft Guidance for Industry
- Constituent Update: FDA Issues Guidance for Industry on Action Levels for Lead in Juice
- FDA Releases Action Plan for Reducing Exposure to Toxic Elements from Foods for Babies, Young Children | FDA
Media Contact: Kim DiFonzo, 240-651-4191; Janell Goodwin, 240-393-3067
Consumer Inquiries: 888-INFO-FDA
The FDA, an agency within the U.S. Department of Health and Human Services, protects the public health by assuring the safety, effectiveness, and security of human and veterinary drugs, vaccines and other biological products for human use, and medical devices. The agency also is responsible for the safety and security of our nation's food supply, cosmetics, dietary supplements, products that give off electronic radiation, and for regulating tobacco products.
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SOURCE U.S. Food and Drug Administration | https://www.whsv.com/prnewswire/2022/04/27/fda-takes-steps-limit-lead-juice-further-reduce-exposure-toxic-elements-foods/ | 2022-04-27T20:54:06Z |
SOUTHERN PINES, N.C., April 27, 2022 /PRNewswire/ -- First Bancorp (the "Company") (NASDAQ - FBNC), the parent company of First Bank, announced today net income of $34.0 million, or $0.95 per diluted common share, for the three months ended March 31, 2022, compared to $28.2 million, or $0.99 per diluted common share, recorded in the first quarter of 2021. Comparisons for the financial periods presented are significantly impacted by the Company's acquisition of Select Bancorp, Inc. ("Select") completed in the fourth quarter of 2021 which contributed $1.3 billion in loans and $1.6 billion in deposits as of the acquisition date.
Richard H. Moore, CEO and Chairman of the Company, stated, "Our team produced strong results in nearly all areas of the bank as we completed the integration of Select into our core systems during the first quarter of this year. Core performance measures continue to be strong and despite an uncertain economic landscape, we remain optimistic that we will continue to benefit from our increased balance sheet as the year continues."
First Quarter 2022 Highlights
- Annualized return on average assets of 1.30% and annualized return on average common equity of 11.38% for the three months ended March 31, 2022.
- Tax equivalent net interest margin remained strong at 3.21% as a result of our low cost of funds and loan yield of 4.30%.
- Increase in average earning assets of 42.3% realized from March 31, 2021. Year-over-year growth in core legacy loans (excluding loans acquired from Select and Paycheck Protection Program ("PPP") loans) was $536.1 million, or 11.6%, as of March 31, 2022.
- Continued favorable credit results with decreases in nonperforming assets ("NPA") and a NPA to total assets ratio of 0.46% as of March 31, 2022, down from 0.65% for the comparable period of 2021.
- Total common equity Tier 1 ratio of 12.75% and total risk-based capital ratio of 14.87%. There were no common shares repurchased during the quarter.
- Accumulated other comprehensive loss ("AOCI") related to unrealized losses on available for sale securities increased and reduced the tangible common equity by 13.2% resulting in a tangible common equity ratio of 7.17% at quarter end.
- Quarterly cash dividend of $0.22 per share declared, a 10.0% increase over the dividend rate in the fourth quarter of 2021.
Net Interest Income and Net Interest Margin
Net interest income for the first quarter of 2022 was $76.9 million, a 39.2% increase from the $55.2 million recorded in the first quarter of 2021. The increase in net interest income from the prior year period was driven by higher earning assets related to both the Select acquisition and organic growth, offset somewhat by a reduction in net interest margin ("NIM"). Average interest-earning assets increased 42.3% from the first quarter of 2021, with increases in both loans and investment securities. The Company's tax-equivalent NIM (calculated by dividing tax-equivalent net interest income by average earning assets) for the first quarter of 2022 was 3.21%, compared to 3.27% for the first quarter of 2021. The decline year-over-year was primarily due to the impact of lower market interest rates and the lower incremental reinvestment rates realized from funds provided by the Company's high deposit growth.
The Company recorded loan discount accretion of $2.3 million in the first quarter of 2022 compared to $1.3 million in the first quarter of 2021 with the increase being due primarily to loans acquired from Select. Loan discount accretion had a 10 basis point positive impact on the NIM in the first quarter of 2022 compared to an 8 basis point positive impact in the first quarter of 2021.
Allowance for Credit Losses, Provisions for Credit Losses and Unfunded Commitments, and Asset Quality
For the three months ended March 31, 2022, the Company recorded a provision for credit losses of $3.5 million based on changes in the loan portfolio and updated economic forecasts. No provision for credit losses was required in the comparable period of 2021, which was the first quarter of the Company's adoption of CECL.
Asset quality continues to improve with annualized net loan charge-offs of 0.01% for the first quarter of 2022 compared to a net charge-off ratio of 0.10% for the same period of 2021. Total nonperforming assets amounted to $48.9 million at March 31, 2022, or 0.46% of total assets, down from $50.0 million, or 0.65% of total assets, at March 31, 2021.
During the three months ended March 31, 2022, under the CECL methodology, the Company recorded a reversal of the provision for unfunded commitments totaling $1.5 million related primarily to fluctuations in the levels of outstanding loan commitments. The Company's allowance for unfunded commitments at March 31, 2022 totaled $12.0 million and is recorded within the line item "Other liabilities".
Noninterest Income
Total noninterest income for the first quarter of 2022 was $19.3 million, a 6.9% decrease from the $20.7 million recorded for the first quarter of 2021. The primary factors driving fluctuations between the two periods were as follows:
- Fees from presold mortgages decreased 75.3% to $1.1 million in the first quarter of 2022 related to the general decline in refinancings and new originations commencing in the second quarter of 2021 as a result of increases in mortgage interest rates.
- Commissions from sales of insurance and financial products amounted to $976,000 for the first quarter of 2022 compared to $2.2 million in the first quarter of 2021. The decline was due to the sale of substantially all of the assets of the Company's property and casualty insurance agency subsidiary on June 30, 2021.
- A 29.6% increase in "Service charges on deposit accounts" and a 26.3% increase in "Other service charges, commissions and fees" were driven by the Select acquisition and related increase in the number of new customers and transaction accounts. Higher bankcard revenues (up $1.3 million or 32.5%) also contributed to the increase.
- SBA loan sale gains were up 40.0% to total $3.3 million for the first quarter of 2022. The increase was related to the timing of sales and the volume of originated loans available to be sold in each period. Offsetting the higher SBA sale gains, SBA consulting fees declined $2.0 million for the first quarter of 2022 as compared to the prior year as a direct result of lower PPP-related revenue.
- Other gains amounted to $1.6 million for the three months ended March 31, 2022, primarily due to death benefits realized on bank-owned life insurance policies.
Noninterest Expenses
Noninterest expenses amounted to $51.5 million and $40.1 million in the first quarters of 2022 and 2021, respectively, an increase of 28.5%. Included in the March 31, 2022 quarter was $3.5 million in merger and acquisition expenses primarily related to computer system conversion costs. The balance of the increase in noninterest expenses was driven by increased operating expenses resulting from the Select acquisition.
Income Taxes
The Company's effective tax rates were 20.4% and 21.3% for the first quarter of 2022 and 2021, respectively. The lower effective tax rate in the first quarter of 2022 was related to higher tax-exempt income in that quarter relative to taxable income.
Balance Sheet and Capital
Total assets at March 31, 2022 amounted to $10.7 billion, a 37.7% increase from a year earlier. The growth was driven by the acquisition of Select and a significant increase in deposits.
Total loans amounted to $6.1 billion at March 31, 2022, an increase of $1.4 billion, or 31.2% from March 31, 2021, due to a combination of organic loan growth and the Select acquisition, partially offset by reductions in PPP loans. Total deposits amounted to $9.4 billion at March 31, 2022, an increase of $2.7 billion, or 39.4%, from March 31, 2021. Exclusive of deposits acquired from Select, the high core deposit growth is believed to be due to a combination of stimulus funds and changes in customer behaviors during the pandemic, as well as ongoing growth initiatives by the Company.
Total investment securities increased $1.2 billion from March 31, 2021 to total $3.2 billion at March 31, 2022, as the Company deployed excess liquidity during the period.
The Company remains well-capitalized by all regulatory standards, with an estimated Total Risk-Based Capital Ratio at March 31, 2022 of 14.87% compared to 15.58% reported at March 31, 2021. The decline resulted from the high balance sheet growth experienced between the periods. The Company's tangible common equity to tangible assets ratio was 7.17% at March 31, 2022, a decrease of 116 basis points from a year earlier, with the decline driven by the higher unrealized loss on available for sale securities included in AOCI.
First Bancorp is a bank holding company headquartered in Southern Pines, North Carolina, with total assets of $10.7 billion. Its principal activity is the ownership and operation of First Bank, a state-chartered community bank that operates 108 branches in North Carolina and South Carolina. First Bank also provides SBA loans to customers through its nationwide network of lenders - for more information on First Bank's SBA lending capabilities, please visit www.firstbanksba.com. First Bancorp's common stock is traded on The NASDAQ Global Select Market under the symbol "FBNC."
Please visit our website at www.LocalFirstBank.com.
Caution about Forward-Looking Statements: This press release contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995, which statements are inherently subject to risks and uncertainties. Forward-looking statements are statements that include projections, predictions, expectations or beliefs about future events or results or otherwise are not statements of historical fact. Such statements are often characterized by the use of qualifying words (and their derivatives) such as "expect," "believe," "estimate," "plan," "project," "anticipate," or other words or phrases concerning opinions or judgments of the Company and its management about future events. Factors that could influence the accuracy of such forward-looking statements include, but are not limited to, the financial success or changing strategies of the Company's customers, the Company's level of success in integrating acquisitions, actions of government regulators, the level of market interest rates, and general economic conditions. For additional information about the factors that could affect the matters discussed in this paragraph, see the "Risk Factors" section of the Company's most recent annual report on Form 10-K available at www.sec.gov. Forward-looking statements speak only as of the date they are made, and the Company undertakes no obligation to update or revise forward-looking statements. The Company is also not responsible for changes made to this press release by wire services, internet services or other media.
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SOURCE First Bancorp | https://www.whsv.com/prnewswire/2022/04/27/first-bancorp-reports-first-quarter-results/ | 2022-04-27T20:54:13Z |
FLORENCE, S.C., April 27, 2022 /PRNewswire/ -- First Reliance Bancshares, Inc. (OTC:FSRL), the holding company for First Reliance Bank (collectively, "First Reliance" or the "Company"), today announced its financial results for the first quarter of 2022.
First Quarter 2022 Highlights
- Net income for the first quarter of 2022 was $0.9 million, or $0.11 per diluted share, compared to $1.7 million, or $0.21 per diluted share, for the first quarter of 2021.
- Total loans increased $5.6 million, or 3.8% annualized, to $592.1 million at March 31, 2022 from $586.4 million at December 31, 2021.
- Total investment securities available for sale increased $62.5 million, or 305.2% annualized, to $144.4 million at March 31, 2022 from $81.9 million at December 31, 2021.
- Total deposits increased $56.8 million, or 29.1% annualized, to $837.7 million at March 31, 2022 from $780.8 million at December 31, 2021.
- Transaction deposits(1) increased $49.6 million during the quarter to $441.5 million and represent 52.7% of total deposits at March 31, 2022.
- Net interest income for the quarter was $6.6 million, which represents an increase of $1.0 million, or 17.4%, compared to the same period in 2021.
- Asset quality remained strong, with nonperforming assets as a percentage of total assets remaining nominal at 0.11% at March 31, 2022. Remaining other real estate owned (one property) was sold during the quarter to bring the balance to zero.
- The Company had net recoveries of $81 thousand, or annualized (0.06%) of average loans during the quarter compared to net charge-offs of $5 thousand, or annualized 0.00% of average loans, for the same period in 2021.
- Cost of funds for the first quarter of 2022 decreased to 0.22% from 0.23% on a linked quarter basis and from 0.34% for the same period in 2021.
Rick Saunders, Chief Executive Officer, remarked: "The first quarter has brought significant changes to the economic environment, highlighted by mounting inflationary pressures, geopolitical uncertainty, and an increasingly hawkish Federal Reserve. In the face of these challenges, First Reliance continues to focus on growing our exceptional deposit franchise and originating loans that meet our high underwriting standards. While loan growth slowed in the first quarter, our pipelines remain strong as we move into Q2."
Mr. Saunders continued, "Our top priorities for the coming quarters are disciplined growth, net interest margin expansion, and improved operating leverage. While the increase in interest rates has normalized mortgage revenues, we believe our core banking business is well-positioned to take advantage of this new rate environment."
Net income for the three months ended March 31, 2022 was $0.9 million, or $0.11 per diluted common share, compared to $1.7 million, or $0.21 per diluted common share, for the three months ended March 31, 2021.
Noninterest income for the three months ended March 31, 2022 was $2.5 million, a decrease of $1.8 million from $4.3 million for the same period in 2021. Noninterest income is largely driven by the Company's mortgage banking division, which produced net revenue of $1.4 million on $72 million of mortgage sale volume during the three months ended March 31, 2022. Mortgage banking income decreased period-over-period primarily because of a decrease in sale volume. Service charges on deposit accounts as well as debit card and other fees were a combined $0.9 million for the three months ended March 31, 2022, an increase of $0.1 million from the same period in 2021.
Noninterest expense for the three months ended March 31, 2022 was $8.0 million, an increase of $0.3 million from $7.7 million for the same period in 2021. This increase was driven mainly by an increase of $0.2 million in other noninterest expense. Compensation and benefits expense increased slightly to $5.1 million for the three months ended March 31, 2022 from $5.0 million for the same period in 2021. Included in compensation and benefits for the current quarter is approximately $55 thousand in severance expense.
Net interest income for the three months ended March 31, 2022 was $6.6 million compared to $5.6 million for the three months ended March 31, 2021. This increase was primarily driven by an increase in interest-earning assets as well as a decrease in the cost of interest-bearing liabilities, which decreased from 0.46% to 0.30%. Improvements in costs of interest-bearing liabilities were offset by decreases in asset yield. Yield on interest-earning assets decreased to 3.33% for the three months ended March 31, 2022 from 3.69% for the same period in 2021.
Our asset quality remained strong through March 31, 2022, with nonperforming assets remaining nominal at $1.1 million, which represents 0.11% of total assets. The Company sold the remaining other real estate owned during the quarter to bring that balance to zero. The allowance for loan losses as a percentage of total loans receivable increased slightly to 1.22% at March 31, 2022, compared to 1.20% at December 31, 2021. The Company had net recoveries of $81 thousand for the three months ended March 31, 2022 compared to net charge-offs of $5 thousand for the same period in 2021.
ABOUT FIRST RELIANCE
Founded in 1999, First Reliance Bancshares, Inc. (OTC: FSRL.OB), is based in Florence, South Carolina and has assets of approximately $954 million. The company employs more than 180 professionals and has locations throughout South Carolina and central North Carolina. First Reliance has redefined community banking with a commitment to making customers' lives better, its founding principle. Customers of the company have given it a 93% customer satisfaction rating well above the bank industry average of 81%. First Reliance is also one of two companies throughout South Carolina to receive the Best Places to Work in South Carolina award all 16 years since the program began. We believe that this recognition confirms that our associates are engaged and committed to our brand and the communities we serve. In addition to offering a full range of personalized community banking products and services for individuals, small businesses and corporations, First Reliance offers two unique community-customers programs, which include: Hometown Heroes, a package of benefits for those serving our communities and Check N Save, an outreach program for the unbanked or under-banked. The company also offers a full suite of digital banking services, Treasury Services, a Customer Service Guaranty, a Mortgage Service Guaranty, and First Reliance Wealth Strategies.
FORWARD-LOOKING STATEMENTS
Certain statements in this news release contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, such as statements relating to future plans and expectations, and are thus prospective. Such forward-looking statements include, but are not limited to, statements with respect to our plans, objectives, expectations and intentions and other statements that are not historical facts, and other statements identified by words such as "believes," "expects," "anticipates," "estimates," "intends," "plans," "targets," and "projects," as well as similar expressions. Such statements are subject to risks, uncertainties, and other factors which could cause actual results to differ materially from future results expressed or implied by such forward-looking statements. Although we believe that the assumptions underlying the forward-looking statements are reasonable, any of the assumptions could prove to be inaccurate. Therefore, we can give no assurance that the results contemplated in the forward-looking statements will be realized. The inclusion of this forward-looking information should not be construed as a representation by the Company or any person that the future events, plans, or expectations contemplated by the Company will be achieved.
The following factors, among others, could cause actual results to differ materially from the anticipated results or other expectations expressed in the forward-looking statements: (1) competitive pressures among depository and other financial institutions may increase significantly and have an effect on pricing, spending, third-party relationships and revenues; (2) the strength of the United States economy in general and the strength of the local economies in which we conduct operations may be different than expected resulting in, among other things, a deterioration in the credit quality or a reduced demand for credit, including the resultant effect on the Company's loan portfolio and allowance for loan losses; (3) the rate of delinquencies and amounts of charge-offs, the level of allowance for loan loss, the rates of loan growth, or adverse changes in asset quality in our loan portfolio, which may result in increased credit risk-related losses and expenses; (4) the risk that the preliminary financial information reported herein and our current preliminary analysis will be different when our review is finalized; (5) changes in the U.S. legal and regulatory framework including, but not limited to, the Dodd-Frank Act and regulations adopted thereunder; (6) adverse conditions in the stock market, the public debt market and other capital markets (including changes in interest rate conditions) could have a negative impact on the Company, including the value of its MSR asset; (7) the business related to acquisitions may not be integrated successfully or such integration may take longer to accomplish than expected; (8) the expected cost savings and any revenue synergies from acquisitions may not be fully realized within expected timeframes; and (9) disruption from acquisitions may make it more difficult to maintain relationships with clients, associates or suppliers. Moreover, a trade war or other governmental action related to tariffs or international trade agreements or policies, as well as Covid-19 or other potential epidemics or pandemics, have the potential to negatively impact ours and/or our customers' costs, demand for our customers' products, and/or the U.S. economy or certain sectors thereof and, thus, adversely affect our business, financial condition, and results of operations. All subsequent written and oral forward-looking statements concerning the Company or any person acting on its behalf are expressly qualified in their entirety by the cautionary statements above. We do not undertake any obligation to update any forward-looking statement to reflect circumstances or events that occur after the date the forward-looking statements are made.
Contact:
Robert Haile
SEVP & Chief Financial Officer
(843) 656-5000
rhaile@firstreliance.com
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CHICAGO, April 27, 2022 /PRNewswire/ -- GoHealth, Inc. (GoHealth) (NASDAQ: GOCO), a leading health insurance marketplace and Medicare-focused digital health company, announced that the company will release its financial results for the first quarter of fiscal year 2022 on May 10, 2022 after 4:00 p.m. (ET), followed by a conference call/live audio webcast to discuss the results at 5:00 p.m. (ET).
A live audio webcast of the conference call will be available via GoHealth's Investor Relations website, https://investors.gohealth.com/. A digital audio recording of the conference call will be made available following the conference call. Interested parties are also invited to join the conference call by dialing 866-374-5140 and conference ID 60724445. The company suggests that participants dial-in approximately ten minutes in advance of the 5:00 p.m. (ET) start time.
About GoHealth, Inc.:
As a leading health insurance marketplace and Medicare-focused digital health company, GoHealth's mission is to improve access to healthcare in America. Enrolling in a health insurance plan can be confusing for customers, and the seemingly small differences between plans can lead to significant out-of-pocket costs or lack of access to critical medicines and even providers. GoHealth combines cutting-edge technology, data science and deep industry expertise to match customers with the healthcare policy and carrier that is right for them. GoHealth has enrolled millions of people in Medicare and individual and family plans. For more information, visit https://www.gohealth.com.
Investor Relations:
IR@gohealth.com
Media Relations:
Pressinquiries@gohealth.com
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SOURCE GoHealth, Inc. | https://www.whsv.com/prnewswire/2022/04/27/gohealths-first-quarter-2022-earnings-release-conference-call-scheduled-may-10-2022/ | 2022-04-27T20:54:27Z |
VANCOUVER, BC, April 27, 2022 /PRNewswire/ - Gold Royalty Corp. (NYSE: GROY) ("Gold Royalty", or the "Company") announces that it has extended the expiry date of its previously announced offer (the "Offer") to acquire all of the outstanding common shares of Elemental Royalties Corp. (TSXV: ELE) ("Elemental") to 5:00 p.m. (Toronto time) on May 12, 2022, subject to any further abridgement, extension or withdrawal.
A Third Notice of Variation and Extension, which sets out consequential amendments to reflect the extended expiry date, will be filed under Elemental's profile at www.sedar.com and mailed to Elemental shareholders. Other than with respect to the extension of the expiry date, the revisions do not change the principal terms or conditions of the Offer in any material respect.
David Garofalo, President and CEO of Gold Royalty, commented: "As previously stated, we commend the Elemental team for what they have built to date. However, we continue to believe that combining with Gold Royalty represents a unique and compelling opportunity for Elemental shareholders to benefit from enhanced scale, growth and liquidity. To that end, we have made several overtures to Elemental's board and management to engage in discussions and gain access to diligence with the objective of reaching a mutually-beneficial, board-supported transaction. While our attempts to engage have thus far been unsuccessful, we remain ready and willing to engage in discussions and gain access to management and due diligence with the objective of potentially revising the current offer and reaching a mutually-beneficial, board-supported transaction for the benefit of all stakeholders."
The Company has extended the expiry date of the Offer by 10 working days in order to afford Elemental shareholders additional time to review and consider the Offer. In the event that the conditions to the Offer, including the receipt of requisite deposits of Elemental common shares, are not satisfied by the new expiry date and in the absence of constructive engagement with Elemental towards a negotiated transaction, the Company does not currently plan to further extend the expiry date.
The Offer remains subject to certain conditions, including, among other things: (i) there having been validly deposited pursuant to the Offer and not withdrawn at the expiry time that number of Elemental Shares, together with the associated rights under Elemental's shareholder rights plan dated December 30, 2021 (the "SRP Rights"), which constitute more than 50% of the Elemental Shares outstanding, excluding those Elemental Shares beneficially owned, or over which control or direction is exercised, by Gold Royalty or by any persons acting jointly or in concert with the Offeror, if any. This condition cannot be waived by Gold Royalty; (ii) there having been validly deposited under the Offer and not withdrawn, at or prior to the expiry time, such number of Elemental Shares, together with the associated SRP Rights, that, together with the Elemental Shares held by Gold Royalty and its affiliates, represent not less than 66 2/3% of the total number of outstanding Elemental Shares, calculated on a fully diluted basis; and (iii) Gold Royalty having determined, in its reasonable judgment, that there does not exist and there shall not have occurred or been publicly disclosed since the date of the Offer, a material adverse effect.
The Offer is subject to certain other conditions in addition to those listed above. A more detailed discussion of the conditions to the consummation of the Offer can be found in the Company's Offer and Circular dated January 11, 2022, as supplemented by the Notice of Change dated January 21, 2022 and as further supplemented and varied by the Notice of Variation and Change dated April 11, 2022 and the Third Notice of Variation and Extension dated April 27, 2022 (collectively, the "Offer Documents"), available on SEDAR at www.sedar.com and on Gold Royalty's website at www.goldroyalty.com/elemental-offer/.
Elemental shareholders are strongly encouraged to read the Offer Documents carefully and in their entirety, since they contain additional important information regarding Gold Royalty and the terms and conditions of the Offer, as well as detailed instructions on how Elemental shareholders can tender their Elemental Shares to the Offer.
Gold Royalty Corp. is a gold-focused royalty company offering creative financing solutions to the metals and mining industry. Its mission is to acquire royalties, streams and similar interests at varying stages of the mine life cycle to build a balanced portfolio offering near, medium and longer-term attractive returns for its investors. Gold Royalty's diversified portfolio currently consists of net smelter return royalties on gold properties located in the Americas.
For additional information, please contact:
Gold Royalty Corp.
Telephone: (833) 396-3066
Email: info@goldroyalty.com
For Elemental shareholders who have questions or require additional information, please contact:
Laurel Hill Advisory Group
North American Toll-Free: 1-877-452-7184 (+1-416-304-0211 outside North America)
E-mail: assistance@laurelhill.com
No Offer or Solicitation
This news release is for informational purposes only and does not constitute an offer to buy or sell, or a solicitation of an offer to sell or buy, any securities. The Offer is being made solely by, and subject to the terms and conditions set out in the Offer Documents.
Notice to U.S. Elemental Shareholders
Gold Royalty has filed with the SEC a Registration Statement on Form F-4, as amended by Amendment No. 1 (the "Registration Statement"), which contains a prospectus relating to the offer to acquire the securities of Elemental, under the U.S. Securities Act of 1933, as amended. SHAREHOLDERS OF ELEMENTAL AND OTHER INTERESTED PARTIES ARE URGED TO READ SUCH REGISTRATION STATEMENT AND ANY AND ALL OTHER RELEVANT DOCUMENTS FILED OR TO BE FILED WITH THE SEC IN CONNECTION WITH THE OFFER AS THOSE DOCUMENTS BECOME AVAILABLE, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THOSE DOCUMENTS, BECAUSE THEY CONTAIN OR WILL CONTAIN IMPORTANT INFORMATION ABOUT GOLD ROYALTY, ELEMENTAL, AND THE OFFER. Materials filed with the SEC will be available electronically without charge at the SEC's website at www.sec.gov under Gold Royalty's profile and the materials will be posted on Gold Royalty's website at www.goldroyalty.com.
Gold Royalty is a foreign private issuer and is permitted to prepare the offer to purchase and take-over bid circular and related documents in accordance with Canadian disclosure requirements, which are different from those of the United States. Gold Royalty prepares its financial statements in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board, and they may not be directly comparable to financial statements of United States companies.
Shareholders of Elemental should be aware that owning Gold Royalty shares may subject them to tax consequences both in the United States and in Canada. The Offer Documents may not describe these tax consequences fully. Elemental shareholders should read any tax discussion in the Offer Documents, and holders of Elemental shares are urged to consult their tax advisors.
An Elemental shareholder's ability to enforce civil liabilities under the United States federal securities laws may be affected adversely because Gold Royalty is incorporated in Canada, some or all of Gold Royalty's officers and directors and some or all of the experts named in the Offer Documents reside outside of the United States, and a substantial portion of Gold Royalty's assets and of the assets of such persons are located outside the United States. Elemental shareholders in the United States may not be able to sue Gold Royalty or its officers or directors in a non-U.S. court for violation of United States federal securities laws. It may be difficult to compel such parties to subject themselves to the jurisdiction of a court in the United States or to enforce a judgment obtained from a court of the United States.
NEITHER THE SEC NOR ANY STATE SECURITIES REGULATOR HAS OR WILL HAVE APPROVED OR DISAPPROVED THE GOLD ROYALTY SHARES OFFERED IN THE OFFER DOCUMENTS, OR HAS OR WILL HAVE DETERMINED IF ANY OFFER DOCUMENTS ARE TRUTHFUL OR COMPLETE. ANY REPRESENTATION TO THE CONTRARY IS A CRIMINAL OFFENSE.
Elemental shareholders should be aware that, during the period of the Offer, Gold Royalty or its affiliates, directly or indirectly, may bid for, or make purchases of, the securities to be distributed or to be exchanged, or certain related securities, as permitted by applicable laws or regulations of Canada or its provinces or territories and the United States, including Rule 14e-5 under the U.S. Securities Exchange Act of 1934, as amended. To the extent information about such purchases or arrangements to purchase is made public in Canada, such information will be disclosed by means of a press release or other means reasonably calculated to inform shareholders in the United States of such information.
Cautionary Statement on Forward-Looking Information
Certain of the information contained in this news release constitutes 'forward-looking information' and 'forward-looking statements' within the meaning of applicable Canadian and U.S. securities laws ("forward-looking statements") and involve known and unknown risks, uncertainties and other factors that may cause Gold Royalty's actual results, performance and achievements to be materially different from the results, performance or achievements expressed or implied therein. The words "believe", "expect", "will", "propose" and derivatives thereof and other expressions which are predictions of or indicate future events, trends or prospects and which do not relate to historical matters, identify the above mentioned and other forward-looking statements. Such forward-looking statements, including among others, statements regarding the satisfaction of the conditions of the Offer and the anticipated timing, benefits and effects of the completion of the Offer, involve risks, uncertainties and other factors which may cause the actual results to be materially different from those expressed or implied by such forward-looking statements. Such factors include, among others, the ability to obtain necessary approvals, and to meet the other conditions under the Offer, the ability to realize the benefits under the proposed transaction, material adverse effects on the business, properties and assets of the parties; the impact of general economic and market conditions; any inability of the operators of the properties underlying the parties' royalty and other interests to execute proposed plans for such properties, risks related to such operators or the exploration, development and mining operations of the properties underlying the parties' royalty and other interests; impacts of macroeconomic developments; and the impact of and the responses of relevant governments to the COVID-19 pandemic and the effectiveness of such responses and the other important risks and uncertainties set out in the Offer Documents, Gold Royalty's Annual Report on Form 20-F for the year ended September 30, 2021 and its other public filings available on SEDAR at www.sedar.com and EDGAR at www.sec.gov. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. The Company does not undertake to update any forward-looking statements, except in accordance with applicable securities laws.
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SOURCE Gold Royalty Corp. | https://www.whsv.com/prnewswire/2022/04/27/gold-royalty-extends-expiry-date-its-offer-purchase-elemental-royalties-files-third-notice-variation-extension/ | 2022-04-27T20:54:34Z |
SINGAPORE, April 27, 2022 /PRNewswire/ -- Growing fresh fruits and vegetables, maintaining a healthy lifestyle, skill-building, and creating green spaces are all benefits of a community garden. On Friday, 22 April, 2022, Singapore American School (SAS) celebrated alongside GROs in Woodgrove Division led by Grassroots Adviser, Ms Hany Soh, marking the opening of a new community garden that will sow future harvests for community residents interested in gardening.
Located in a quiet enclave of Woodgrove, next to the West Fields at SAS, the garden offers 99 plots for neighbouring residents, 20 of which are allocated to Woodgrove Community. Gardeners come in every day to nurture their greens, find a space to relax and bond, and socialize with fellow gardeners. Accessible by foot and paths around the site are wide, and the garden is open for all to enjoy every day during daylight hours.
According to community gardener Tan Wee Book, "This is so meaningful for us, allowing our family an opportunity to bond as we come and work on our plot." Community gardeners have planted a variety of flora — fruits, vegetables, and flowering plants, making this a space that supports a variety of passions. The garden reflects the purpose it serves — engaging, educating, and building relationships that last beyond the growing season.
"The community plays a key role in the stewardship for nature, and this partnership with Woodgrove Community is instrumental in encouraging cooperation, volunteerism, a respect for diversity, and ecological awareness among those who engage in this work," said SAS Superintendent Tom Boasberg.
"Woodgrove is our home, and we enjoy finding new ways to partner with and give back to the local community. Each year we support the annual Halloween event, invite community members to join our Fourth of July BBQ, and connect our students directly with local students to serve in a variety of ways. We are excited to create a new place where community members can come together to enjoy the fruits of their work," said Superintendent Boasberg.
For residents around Woodgrove living in flats or houses without gardens, having an attractive, welcoming green space within walking distance for quiet recreation enhances mental and emotional well-being. Along with the benefits of being outside and working alongside others, the garden also provides chance to build a space that everyone can enjoy and use. Ms Hany Soh, Adviser to Marsiling-Yew Tee GRC GROs (Woodgrove) shared, "We are happy that Woodgrove residents now have new community gardens where they can come together to try their hand at gardening and pick up green tips from one another. We hope this shared passion in the joys of gardening will strengthen bonds between neighbours and families, and knit our community closer together."
ABOUT SINGAPORE AMERICAN SCHOOL
Singapore American School enjoys a global reputation of excellence and innovation in education and annually graduates students who attend the best universities in the world. SAS prides itself on a culture of excellence, extraordinary care, and possibilities, providing an educational environment where engaged students learn to think critically, develop the skills necessary to succeed throughout their lives, and pursue passions in a range of disciplines.
SAS is proud of its exemplary faculty, 82 percent of whom hold master's degrees or doctorates. The school invests heavily in professional development and regularly sends teachers across the globe to share best practices with other leading educational institutions.
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SOURCE Singapore American School | https://www.whsv.com/prnewswire/2022/04/27/growing-together-new-community-garden-woodgrove-residents/ | 2022-04-27T20:54:40Z |
TAMPA, Fla., April 27, 2022 /PRNewswire/ -- Heritage Insurance Holdings, Inc. (NYSE: HRTG) ("Heritage" or the "Company"), a super-regional property and casualty insurance holding company, announced today that it expects to incur approximately $45.0 million of net current accident quarter catastrophe losses and $18.8 million of net current accident quarter other weather losses in first quarter 2022, compared to $15.4 million and $16.1 million, respectively, for the same period in 2021. Total net current accident quarter weather losses were approximately $63.8 million in the first quarter of 2022, compared to $31.4 million in the same period the year prior.
These preliminary, unaudited financial estimates are based on information available to management as of the date of this press release, remain subject to the completion of normal quarter-end accounting procedures and adjustments, and are subject to change. The Company's independent registered public accounting firm has not completed its review of the Company's results for the quarter ended March 31, 2022. During the course of the preparation of our consolidated financial statements and related notes, and completion of the Company's financial close and procedures for the three months ended March 31, 2022, adjustments to the preliminary estimates may be identified, and such adjustments may be material. In addition, other developments may arise between now and the time the financial statements for the three months ended March 31, 2022 are finalized. The Company undertakes no obligation to update the information in this press release in the event facts or circumstances change after the date of this press release.
As previously announced, Heritage is scheduled to report first quarter 2022 financial results after the market closes on Thursday, May 5, 2022, followed by a 9:30 am ET conference call on Friday, May 6, 2022.
Conference Call Details:
Participant Dial-in Numbers Toll Free: 1- 888-346-3095
Participant International Dial In: 1- 412-902-4258
Telephone participants should ask to be joined into the Heritage Insurance Holdings call.
Webcast:
A live audio webcast of the earnings call will be available in the investors section of the company's website. The call will be archived and available for replay.
Financial information, including material announcements about Heritage, is routinely posted on investors.heritagepci.com.
About Heritage
Heritage Insurance Holdings, Inc. is a super-regional property and casualty insurance holding company. Through its insurance subsidiaries and a large network of experienced agents, the Company writes approximately $1.2 billion of gross personal and commercial residential premium across its multi-state
Forward-Looking Statements
Statements in this press release that are not historical facts are forward-looking statements that are subject to certain risks and uncertainties that could cause actual events and results to differ materially from those discussed herein. Without limiting the generality of the foregoing, words such as "may," "will," "expect," "believe," "anticipate," "intend," "could," "would," "estimate," "or "continue" or the other negative variations thereof or comparable terminology are intended to identify forward-looking statements. This release includes forward-looking statements relating to (i) opportunities for future growth in geographies and the impact of distribution partnerships on that growth and (ii) the impact of our strategic initiatives on our financial results and our profitability position for 2021 and beyond. The risks and uncertainties that could cause our actual results to differ from those expressed or implied herein include, without limitation: the success of the Company's underwriting and profitability initiatives; the continued and potentially prolonged impact of the COVID-19 pandemic on the economy, demand for our products and our operations; inflation and other changes in economic conditions (including changes in interest rates and financial and real estate markets), including as a result of the COVID-19 pandemic; the impact of new federal and state regulations that affect the property and casualty insurance market; the costs of reinsurance, the collectability of reinsurance and our ability to obtain reinsurance coverage on terms and at a cost acceptable to us; assessments charged by various governmental agencies; pricing competition and other initiatives by competitors; our ability to obtain regulatory approval for requested rate changes, and the timing thereof; legislative and regulatory developments; the outcome of litigation pending against us, including the terms of any settlements; risks related to the nature of our business; dependence on investment income and the composition of our investment portfolio; the adequacy of our liability for losses and loss adjustment expense; our ability to build and maintain relationships with insurance agents; claims experience; ratings by industry services; catastrophe losses; reliance on key personnel; weather conditions (including the severity and frequency of storms, hurricanes, tornadoes and hail); changes in loss trends; acts of war and terrorist activities; court decisions and trends in litigation; and other matters described from time to time by us in our filings with the Securities and Exchange Commission, including, but not limited to, the Company's Annual Report on Form 10-K for the year ended December 31, 2020 filed with the Securities and Exchange Commission on March 9, 2021 and subsequent filings. The Company undertakes no obligations to update, change or revise any forward-looking statement, whether as a result of new information, additional or subsequent developments or otherwise.
Investor Contacts:
Kirk Lusk
Chief Financial Officer
klusk@heritagepci.com
Mike Houston and Jeff Schoenborn
Lambert
HRTG@lambert.com
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SOURCE Heritage Insurance Holdings, Inc. | https://www.whsv.com/prnewswire/2022/04/27/heritage-announces-preliminary-first-quarter-2022-weather-losses/ | 2022-04-27T20:54:47Z |
HERTZ REPORTS FIRST QUARTER REVENUE OF $1.8 BILLION, NET INCOME OF $426 MILLION AND ADJUSTED CORPORATE EBITDA OF $614 MILLION
Published: Apr. 27, 2022 at 4:00 PM EDT|Updated: 54 minutes ago
"Hertz produced a very strong first quarter," said Stephen Scherr, Hertz chief executive officer. "Our team delivered on behalf of customers amidst strong demand, reflecting a sharp rebound in travel. We experienced high volumes and sustained pricing, particularly in the back half of the quarter following Omicron. We also maintained cost discipline and began to see the benefits of several new partnerships. I am equally pleased with our momentum on customer experience – especially as we move into the peak summer travel season and as we play a more central role in mobility over the longer term."
ESTERO, Fla., April 27, 2022 /PRNewswire/ -- Hertz Global Holdings, Inc. (NASDAQ: HTZ) ("Hertz", "Hertz Global" or the "Company") today reported results for its first quarter 2022.
HIGHLIGHTS
Total revenues of $1.8 billion
GAAP net income of $426 million, or $0.82 per diluted share
Adjusted Net Income of $403 million, or $0.87 per adjusted diluted share (reflects adjustments for fair value remeasurements to outstanding public warrants and certain derivative contracts, among other items)
Adjusted Corporate EBITDA of $614 million
Adjusted Corporate EBITDA Margin of 34%
Operating cash flow of $621 million and adjusted operating cash flow of $677 million
Corporate liquidity of $2.7 billion at March 31st, including $1.5 billion in unrestricted cash
Company repurchased 38 million common shares from January 1, 2022 through April 21, 2022
For the first quarter 2022, the Company generated total revenues of $1.8 billion, which were 57% higher than the first quarter 2021, excluding Donlen. Monthly revenue per unit rose 26%, due to structural improvements and a continued recovery in travel demand. These trends, along with strong cost performance, drove $0.87 of adjusted earnings per share and $614 million of Adjusted Corporate EBITDA.
SUMMARY RESULTS
LIQUIDITY AND CAPITAL RESOURCES
During the first quarter 2022, the Company repurchased 35 million shares of its common stock for an aggregate price of $722 million. Between April 1, 2022 and April 21, 2022, the Company repurchased 3 million shares of Hertz Global's common stock for an aggregate purchase price of $70 million. As of April 21, 2022, $800 million remains available for share repurchases under the Board-approved plan.
During the first quarter 2022, the Company issued multiple series of medium-term fixed rate rental car asset backed notes for $2.5 billion. The net proceeds from the issuances were used to repay amounts outstanding on certain of the Company's variable rate rental car asset backed notes and for the future acquisition or refinancing of vehicles. Also, the Series 2021-A variable funding notes were amended to increase the maximum principal amount to $3.2 billion.
During the first quarter 2022, the Company amended its First Lien RCF to increase commitments from $1.3 billion to $1.5 billion, increase the sublimit for letters of credit from $1.1 billion to $1.4 billion and to revise the interest benchmark from a USD London Inter-Bank Offered Rate to a Secured Overnight Funding Rate.
The Company's liquidity position was $2.7 billion at March 31, 2022, of which $1.5 billion was unrestricted cash.
EARNINGS WEBCAST INFORMATION
Hertz Global's live webcast and conference call to discuss its first quarter 2022 results will be held on April 27, 2022, at 5:00 p.m. Eastern Time. The conference call will be broadcast live in listen-only mode on the company's investor relations website at IR.Hertz.com. If you would like to ask a question, the dial in number for the conference call is (800) 924-0350; access code 7595076. Investors are encouraged to dial-in approximately 10 minutes prior to the call. A web replay will remain available on the website for approximately one year. The earnings release and related supplemental schedules containing the reconciliations of non-GAAP measures will be available on the Hertz website, IR.Hertz.com.
UNAUDITED FINANCIAL DATA, SUPPLEMENTAL SCHEDULES, NON-GAAP MEASURES AND DEFINITIONS
Following is selected financial data of Hertz Global. Also included are Supplemental Schedules, which are provided to present segment results, and reconciliations of non-GAAP measures to their most comparable GAAP measure. Following the Supplement Schedules, the Company provides definitions for terminology used throughout the earnings release and provides the usefulness of non-GAAP measures to investors and additional purposes for which management uses such measures.
In the first quarter of 2022, the Company began using Average Rentable Vehicles when calculating Available Car Days, Total RPU and Utilization instead of Average Vehicles. Average Rentable Vehicles excludes vehicles for sale on the Company's retail lots or actively in the process of being sold through other disposition channels. Prior periods have been restated to conform with the revisions, as appropriate.
ABOUT HERTZ
The Hertz Corporation, a subsidiary of Hertz Global Holdings, Inc., operates the Hertz, Dollar and Thrifty vehicle rental brands throughout North America, Europe, the Caribbean, Latin America, Africa, the Middle East, Asia, Australia and New Zealand. The Hertz Corporation is one of the largest worldwide vehicle rental companies, and the Hertz brand is one of the most recognized globally. Additionally, The Hertz Corporation owns and operates the Firefly vehicle rental brand and Hertz 24/7 car sharing business in international markets and sells vehicles through Hertz Car Sales. For more information about The Hertz Corporation, visit www.hertz.com.
Certain statements contained or incorporated by reference in this release, and in related comments by the Company's management, include "forward-looking statements." Forward-looking statements include information concerning the Company's liquidity and its possible or assumed future results of operations, including descriptions of its business strategies. These statements often include words such as "believe," "expect," "project," "potential," "anticipate," "intend," "plan," "estimate," "seek," "will," "may," "would," "should," "could," "forecasts," "guidance" or similar expressions. These statements are based on certain assumptions that the Company has made in light of its experience in the industry as well as its perceptions of historical trends, current conditions, expected future developments and other factors it believes are appropriate in these circumstances. The Company believes these judgments are reasonable, but you should understand that these statements are not guarantees of performance or results, and that the Company's actual results could differ materially from those expressed in the forward-looking statements due to a variety of important factors, both positive and negative, that may be revised or supplemented in subsequent reports on Form 10-K, 10-Q and 8-K filed or furnished to the SEC.
Important factors that could affect the Company's actual results and cause them to differ materially from those expressed in forward-looking statements include, among other things:
the length and severity of COVID-19 and the impact on the Company's vehicle rental business as a result of travel restrictions and business closures or disruptions, as well as the impact on its employee retention and talent management strategies;
the impact of macroeconomic conditions resulting in inflationary cost pressures resulting in labor and supply chain constraints and increased vehicle acquisition costs, among others;
the Company's ability to purchase adequate supplies of competitively priced vehicles at a reasonable cost as a result of the continuing global semiconductor microchip manufacturing shortage (the "Chip Shortage") and other raw material supply constraints;
the impact of the conflict between Russia and Ukraine on supply chains and raw materials for the automotive industry and uncertainty on overall consumer sentiment and travel demand, especially in Europe;
the impact on the value of the Company's non-program vehicles upon disposition when the Chip Shortage and other raw material supply constraints are alleviated;
the Company's ability to attract and retain key employees;
levels of travel demand, particularly business and leisure travel in the U.S. and in global markets;
significant changes in the competitive environment and the effect of competition in the Company's markets on rental volume and pricing;
occurrences that disrupt rental activity during the Company's peak periods;
the Company's ability to accurately estimate future levels of rental activity and adjust the number and mix of vehicles used in its rental operations accordingly;
the Company's ability to implement its business strategy, including its ability to implement plans to support a large scale electric vehicle fleet and to play a central role in the modern mobility ecosystem;
the Company's ability to adequately respond to changes in technology, customer demands and market competition;
the mix of program and non-program vehicles in the Company's fleet can lead to increased exposure to residual risk;
the Company's ability to dispose of vehicles in the used-vehicle market and use the proceeds of such sales to acquire new vehicles;
financial instability of the manufacturers of the Company's vehicles, which could impact its ability to fulfill obligations under repurchase or guaranteed depreciation programs;
an increase in the Company's vehicle costs or disruption to its rental activity due to safety recalls by the manufacturers of its vehicles;
the Company's access to third-party distribution channels and related prices, commission structures and transaction volumes;
the Company's ability to offer an excellent customer experience, retain and increase customer loyalty and market share;
the Company's ability to maintain its network of leases and vehicle rental concessions at airports in the U.S. and internationally;
the Company's ability to maintain favorable brand recognition and a coordinated branding and portfolio strategy;
major disruption in the Company's communication or centralized information networks or a failure to maintain, upgrade and consolidate its information technology systems;
the Company's ability to prevent the misuse or theft of information it possesses, including as a result of cyber security breaches and other security threats, as well as its ability to comply with privacy regulations;
risks associated with operating in many different countries, including the risk of a violation or alleged violation of applicable anti-corruption or anti-bribery laws and the Company's ability to repatriate cash from non-U.S. affiliates without adverse tax consequences;
the Company's ability to utilize its net operating loss carryforwards;
risks relating to tax laws, including those that affect the Company's ability to deduct certain business interest expenses and offset previously-deferred tax gains, as well as any adverse determinations or rulings by tax authorities;
changes in laws, regulations, policies or other activities of governments, agencies and similar organizations, including those related to accounting principles, that affect the Company's operations, its costs or applicable tax rates;
the recoverability of the Company's goodwill and indefinite-lived intangible assets when performing impairment analysis;
costs and risks associated with potential litigation and investigations, compliance with and changes in laws and regulations and potential exposures under environmental laws and regulations; and
the availability of additional or continued sources of financing for the Company's revenue earning vehicles and to refinance its existing indebtedness.
Additional information concerning these and other factors can be found in the Company's filings with the SEC, including its Annual Reports on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K.
You should not place undue reliance on forward-looking statements. All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by the foregoing cautionary statements. All such statements speak only as of the date of this release, and, except as required by law, the Company undertakes no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise.
NON-GAAP MEASURES AND KEY METRICS
The term "GAAP" refers to accounting principles generally accepted in the United States. Adjusted EBITDA is the Company's segment measure of profitability and complies with GAAP when used in that context.
NON-GAAP MEASURES
Non-GAAP measures are not recognized measurements under GAAP. When evaluating the Company's operating performance or liquidity, investors should not consider non-GAAP measures in isolation of, superior to, or as a substitute for measures of the Company's financial performance as determined in accordance with GAAP.
Adjusted Net Income (Loss) and Adjusted Diluted Earnings (Loss) Per Share ("Adjusted EPS")
Adjusted Net Income (Loss) represents income or loss attributable to the Company as adjusted to eliminate the impact of GAAP income tax; vehicle and non-vehicle debt-related charges; restructuring and restructuring related charges; information technology and finance transformation costs; acquisition accounting-related depreciation and amortization; reorganization items, net; pre-reorganization and non-debtor financing charges; gain from the sale of a business; change in fair value of Public Warrants; unrealized (gains) losses on financial instruments and certain other miscellaneous items on a pre-tax basis. Adjusted Net Income (Loss) includes a provision (benefit) for income taxes derived utilizing a combined statutory rate. The combined statutory rate is management's estimate of the Company's long-term tax rate. Its most comparable GAAP measure is net income (loss) attributable to the Company.
Adjusted EPS represents Adjusted Net Income (Loss) on a per diluted share basis using the weighted-average number of diluted shares outstanding for the period. Its most comparable GAAP measure is diluted earnings (loss) per share.
Adjusted Net Income (Loss) and Adjusted EPS are important operating metrics because they allow management and investors to assess operational performance of the Company's business, exclusive of the items mentioned above that are not operational in nature or comparable to those of the Company's competitors.
Adjusted Corporate EBITDA and Adjusted Corporate EBITDA Margin
Adjusted Corporate EBITDA represents income or loss attributable to the Company as adjusted to eliminate the impact of GAAP income tax; non-vehicle depreciation and amortization; non-vehicle debt interest, net; vehicle debt-related charges; restructuring and restructuring related charges; information technology and finance transformation costs; reorganization items, net; pre-reorganization and non-debtor financing charges; gain from the sale of a business; change in fair value of Public Warrants; unrealized (gains) losses on financial instruments and certain other miscellaneous items.
Adjusted Corporate EBITDA Margin is calculated as the ratio of Adjusted Corporate EBITDA to total revenues.
Management uses these measures as operating performance metrics for internal monitoring and planning purposes, including the preparation of the Company's annual operating budget and monthly operating reviews, and analysis of investment decisions, profitability and performance trends. These measures enable management and investors to isolate the effects on profitability of operating metrics most meaningful to the business of renting and leasing vehicles. They also allow management and investors to assess the performance of the entire business on the same basis as its reportable segments. Adjusted Corporate EBITDA is also utilized in the determination of certain executive compensation. Its most comparable GAAP measure is net income (loss) attributable to the Company.
Adjusted operating cash flow and adjusted free cash flow
Adjusted operating cash flow represents net cash provided by operating activities net of the non-cash add back for vehicle depreciation and reserves, and exclusive of bankruptcy related payments made post emergence. Adjusted operating cash flow is important to management and investors as it provides useful information about the amount of cash generated from operations when fully burdened by fleet costs.
Adjusted free cash flow represents adjusted operating cash flow plus the impact of net non-vehicle capital expenditures and net fleet growth after financing. Adjusted Free Cash Flow is important to management and investors as it provides useful information about the amount of cash available for, but not limited to, the reduction of non-vehicle debt, share repurchase and acquisition.
KEY METRICS
Available Car Days
Available Car Days represents Average Rentable Vehicles multiplied by the number of days in a given period.
Average Vehicles ("Fleet Capacity" or "Capacity")
Average Vehicles is determined using a simple average of the number of vehicles in the fleet whether owned or leased by the Company at the beginning and end of a given period.
Average Rentable Vehicles
Average Rentable Vehicles reflects Average Vehicles excluding vehicles for sale on the Company's retail lots or actively in the process of being sold through other disposition channels.
Depreciation Per Unit Per Month ("Depreciation Per Unit" or "DPU")
Depreciation Per Unit Per Month represents the amount of average depreciation expense and lease charges per vehicle per month, exclusive of the impacts of foreign currency exchange rates so as not to affect the comparability of underlying trends. This metric is important to management and investors as it reflects how effectively the Company is managing the costs of its vehicles and facilitates comparisons with other participants in the vehicle rental industry.
Total Revenue Per Transaction Day ("Total RPD"or "RPD"; also referred to as "pricing")
Total RPD represents revenue generated per transaction day, excluding the impact of foreign currency exchange rates so as not to affect the comparability of underlying trends. This metric is important to management and investors as it represents a measure of changes in the underlying pricing in the vehicle rental business and encompasses the elements in vehicle rental pricing that management has the ability to control.
Historically, the Company excluded revenue generated from ancillary retail vehicles sales. Effective in the third quarter 2021, the Company revised its calculation of Total RPD to include ancillary retail vehicle sales revenues to better align with current industry practice. Prior periods shown have been restated to conform with the revised definition.
Total Revenue Per Unit Per Month ("Total RPU" or "Total RPU Per Month")
Total RPU Per Month represents the amount of revenue generated per vehicle in the rental fleet each month, excluding the impact of foreign currency exchange rates so as not to affect the comparability of underlying trends. This metric is important to management and investors as it provides a measure of revenue productivity relative to the number of vehicles in our rental fleet whether owned or leased, or asset efficiency.
Historically, the Company excluded revenue generated from ancillary retail vehicles sales. Effective in the third quarter 2021, the Company revised its calculation of Total RPU to include ancillary retail vehicle sales revenues to better align with current industry practice. Also, historically, the company used Average Vehicles as the denominator to calculate Total RPU and effective in the first quarter of 2022, the Company revised the calculation to use Average Rentable Vehicles. Prior periods shown have been restated to conform with the revised definition.
Transaction Days ("Days"; also referred to as "volume")
Transaction Days represents the total number of 24-hour periods, with any partial period counted as one Transaction Day, that vehicles were on rent (the period between when a rental contract is opened and closed) in a given period. Thus, it is possible for a vehicle to attain more than one Transaction Day in a 24-hour period. This metric is important to management and investors as it represents the number of revenue-generating days.
Vehicle Utilization ("Utilization")
Effective in the first quarter of 2022, in connection with the appointment of the new CEO (who serves as our Chief Operating Decision Maker) and arising from significantly increased activity in vehicle dispositions, we began using Average Rentable Vehicles when calculating Available Car Days, Total RPU and Utilization instead of Average Vehicles. Average Rentable Vehicles excludes vehicles for sale on the Company's retail lots or actively in the process of being sold through other disposition channels. We believe this is a better measure of the productivity of our rental fleet as it is unaffected by fluctuations in disposition activity. Prior periods have been restated to conform with the revisions, as appropriate.
The above press release was provided courtesy of PRNewswire. The views, opinions and statements in the press release are not endorsed by Gray Media Group nor do they necessarily state or reflect those of Gray Media Group, Inc. | https://www.whsv.com/prnewswire/2022/04/27/hertz-reports-first-quarter-revenue-18-billion-net-income-426-million-adjusted-corporate-ebitda-614-million/ | 2022-04-27T20:54:54Z |
TRAVERSE CITY, Mich., April 27, 2022 /PRNewswire/ -- High Street Insurance Partners continues its exponential growth focused on building the best insurance agency.
CEO Scott Wick said, "To build the best insurance agency you need the best talent. Our strategy is two-fold -- partner with like-minded agencies that drive organic growth and executives who have industry and domain experience to drive growth and build critical infrastructure. I am very proud of our agency partners and the executive team we have brought together to execute on our strategy."
In the last eight months, High Street has assembled an impressive team with significant industry and domain expertise. Last September, Angela Williams, Chief Brand and Communications Officer, Emma Riza, Chief Development Officer, and Kevin Smith, Chief Information Officer, joined the Executive Team of Scott Wick, Founder and CEO, Scott Goodreau, President & COO, and Dave Tuit, CFO. Dave Tuit said, "These additions to the team bring a wealth of expertise in their areas and have driven significant results throughout their careers."
Most recently, James Hutchinson, Chief Marketing Officer & Regional President, Northeast, and Robert Sajdak, Chief Legal Officer, joined the High Street Executive Team.
James has over thirty years of insurance industry expertise and is recognized for creating and executing innovative growth and retention strategies. He has held numerous senior positions including Chief Marketing Officer and President of Commercial Lines for a top ten global insurance brokerage. Additionally, James served as Senior Vice President for Navigators Group where he led Navigators field operations and was responsible for its retail distribution and national sales strategy. James serves on the Boards for Advisen and the National African American Insurance Association.
Robert joins High Street from a large global insurance brokerage, where he spent the last 12 years, most recently serving as Vice President, Assistant General Counsel with responsibility for regulatory matters, corporate compliance, and M&A and other transactional matters. Robert also spent time as in-house counsel for a Chicago-based specialty insurance carrier.
Scott Goodreau commented, "Leadership has changed so much over the last couple of years and leaders are being asked to make decisions like they never have before. We believe in illuminating a diverse and inclusive world and I am excited to say we have built an Executive Team that challenges the status quo and attracts leaders of tomorrow."
About High Street Insurance Partners
High Street Insurance Partners is a national insurance agency with over 100 agency partners across the continental US. Founded in 2018, the Traverse City, Michigan-based company provides a broad array of business insurance & risk management; employee benefits & human capital management; financial & retirement services; and personal insurance solutions.
Our Purpose: We love to help people pursue life's opportunities with tenacity and confidence to create stronger, more resilient communities. We do it for all our futures.
Additional information can be found at www.highstreetpartners.com.
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SALT LAKE CITY, April 27, 2022 /PRNewswire/ -- Together, with national experts across the country, Huntsman Mental Health Institute at the University of Utah launched a nationwide collaborative effort to eliminate mental health and substance use disorder stigma.
"We are honored to have such prestigious national organizations join Huntsman Mental Health Institute and our family in this Grand Challenge to end mental health stigma," said David Huntsman, president and COO, Huntsman Foundation. "This partnership will make a powerful impact as we spread the word that there is 'no health without mental health' and that we need to begin to treat our mental health as we would any physical ailment."
The impact of stigma has been well documented by the National Academy of Medicine and others. Stigma prevents policymakers from crafting laws free from discrimination and discourages students from pursuing mental health careers. The shame caused by stigma keeps people from seeking the treatment they need, leading to increased rates of suicide and substance use disorders. Stigma has led to an underfunded mental health system, and often, those with the most severe needs fall through the cracks.
"Individuals with mental illness and substance use disorders are among the most discriminated individuals in the world," said Mark H. Rapaport, M.D., CEO of HMHI. "We have the opportunity together to change that reality. It will not happen overnight; it will take many voices and require us to work together in new ways to synergize the incredible work already happening in this area and join together to create real and lasting change."
A Grand Challenge is a social change movement that shifts beliefs, attitudes, and behavior. Past similar movements have included seatbelt usage, recycling, and tobacco campaigns. Grand Challenges require broad support, take place over decades, and have multifaceted strategies to meet a full range of needs. Key elements of the Grand Challenge to eliminate stigma include:
- development of a committed coalition of national leaders
- metrics and research
- a focus on equity
- policy change and advocacy
- communications
Central to a successful Grand Challenge social movement is the presence of a consistent "backbone" organization. HMHI has stepped up to play the role of the backbone and provide staffing and resources and facilitate a national governing body of recognized leaders.
Organizations that have signed on to be part of the leadership team and working groups implementing the Grand Challenge include:
- American Psychiatric Association
- American Psychological Association
- National Association of Social Workers
- Society for Human Resource Management
- Association of State and Territorial Health Officials
- One Mind
- Shatterproof
- Rural Behavioral Health Institute
- The Carter Center
- Jed Foundation
- Human Rights Coalition
- National Alliance on Mental Illness
- Mental Health Coalition
Experts agree we face a mental health crisis that could yield serious health and social consequences for years to come. According to the Centers for Disease Control and Prevention, more than 40 percent of adults are experiencing recent symptoms of anxiety or depression. Even as more individuals experience mental health and substance use disorder challenges, the vast majority don't seek professional help because of stigma.
"The time is now to come together and normalize mental health and substance use disorder," said Saul Levin, M.D., M.P.A., CEO and medical director of the American Psychiatric Association. "Mental illness is just like hypertension and heart disease; it can be treated. If we all stand up and say 'enough is enough' together, we can create change and eliminate stigma forever."
The first meeting of the national collaborative was held in mid-April. In October, a "Design Summit" will be held at Snowbird Resort in Utah, where over 100 organizations committed to eliminating mental health and substance use disorder stigma will meet to build a national network.
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- Subscription annualized recurring revenue (ARR) in the first quarter increased 32% year-over-year to $849 million
- Cloud ARR in the first quarter increased 43% year-over-year to $343 million
- Subscription revenue in the first quarter increased 26% year-over-year to $198 million
REDWOOD CITY, Calif., April 27, 2022 /PRNewswire/ -- Informatica (NYSE: INFA), an enterprise cloud data management leader, today announced financial results for its first quarter 2022, ended March 31, 2022.
"We delivered ARR and non-GAAP Operating Income above the high end of our guidance range and achieved another quarter of operating profitability and positive cash flow while continuing to invest in long-term, durable growth. Demand for our cloud-native IDMC platform and continued momentum from enterprise customers and strategic partners drove cloud ARR growth of 43%," said Amit Walia, Chief Executive Officer at Informatica. "These results highlight the continued customer adoption of our cloud data management solutions, and the execution of our multi-pronged strategy is delivering results. We are off to a great start for the year, and we see total ARR growth in 2022 accelerating."
First Quarter 2022 Financial Highlights:
- GAAP Total Revenues increased 9% year-over-year to $362.3 million.
- GAAP Subscription Revenues increased 26% year-over-year to $197.7 million.
- Total ARR increased 17% year-over-year to $1.4 billion.
- GAAP Operating Income of $6.2 million and Non-GAAP Operating Income of $83.4 million.
- GAAP Operating Cash Flow increased 8% year-over-year to $70.2 million.
- Unlevered Free Cash Flow (after-tax) of $87.5 million.
A reconciliation of GAAP to non-GAAP financial measures has been provided in the tables included in this press release. An explanation of these measures is also included below under the heading "Non-GAAP Financial Measures."
First Quarter 2022 Business Highlights:
- Achieved a subscription net retention rate of 113% at the end of March 31, 2022.
- Processed 32.2 trillion cloud transactions per month for the quarter ended March 31, 2022, as compared to 19.6 trillion cloud transactions per month in the same quarter last year, an increase of 64% year-over-year.
- Reported 164 customers that spend more than $1 million in subscription ARR at the end of March 31, 2022, an increase of 50% year-over-year.
- Reported 1,732 customers that spend more than $100,000 in subscription ARR at the end of March 31, 2022, an increase of 22% year-over-year.
Product Innovation:
- Expanded partnership with Snowflake that will result in deeper, product integrations for data governance, acceleration and scaling of joint marketing and demand-generation activities, and expanded field sales collaboration.
- Launched the Informatica Intelligent Data Management Cloud (IDMC) for Retail -- a cloud-neutral, end-to-end data management solution for the retail industry to drive innovation and business value in a multi-cloud, hybrid environment.
- Launched the Informatica Intelligent Multi-domain Master Data Management (MDM) for enterprises to connect, understand and manage the relationship between multiple domains such as location, customer, product or supplier as well as assets including IoT devices or sensors.
- Expanded global system integrator partnership with Wipro Limited to accelerate cloud modernization for global customers.
Industry Recognition:
- Named to Fast Company's Annual List of the World's 50 Most Innovative Companies for 2022. Informatica ranked #2 in the competitive enterprise category.
- Named a 2022 Gartner Peer Insights Customers' Choice for Data Integration Tools, making Informatica the only vendor to receive this accolade four consecutive times.
- Recognized as an Overall Leader in KuppingerCole Leadership Compass Data Catalogs and Metadata Management Report.
- Recognized as a Champion in the Bloor Stream Processing Market Update.
Second Quarter and Full-Year 2022 Financial Outlook
The Company provides the financial guidance below based on current market conditions and expectations and subject to various important cautionary factors described below. Based on information available as of April 27, 2022, guidance for the second quarter of 2022 and full-year 2022 is as follows:
Second Quarter 2022 Ending June 30, 2022:
- Total Revenues in the range of $358 million to $368 million, representing approximately 6% year-over-year growth at the midpoint of the range.
- Subscription ARR in the range of $875 million to $885 million, representing approximately 28% year-over-year growth at the midpoint of the range.
- Cloud ARR in the range of $365 million to $371 million, representing approximately 40% year-over-year growth at the midpoint of the range.
- Non-GAAP Operating Income in the range of $44 million to $51 million.
Full-Year 2022 Ending December 31, 2022:
- Total Revenues in the range of $1,585 million to $1,605 million, representing approximately 10% year-over-year growth at the midpoint of the range.
- Raising Total ARR to a range of $1,520 million to $1,550 million, representing approximately 13% year-over-year growth at the midpoint of the range. This is an increase from the prior range of $1,510 million to $1,540 million and approximately 12% year-over-year growth at the midpoint of the range.
- Subscription ARR in the range of $990 million to $1,010 million, representing approximately 25% year-over-year growth at the midpoint of the range.
- Cloud ARR in the range of $438 million to $448 million, representing approximately 40% year-over-year growth at the midpoint of the range.
- Non-GAAP Operating Income in the range of $325 million to $345 million.
- Unlevered Free Cash Flow (after-tax) in the range of $323 million to $343 million.
In addition to the above guidance, the Company is also providing second quarter and full-year 2022 weighted-average number of basic and diluted share estimates for modeling purposes. For the second quarter 2022, we expect basic weighted-average shares outstanding to be approximately 280 million shares and diluted weighted-average shares outstanding to be approximately 283 million shares. For the full-year 2022, we expect basic weighted-average shares outstanding to be approximately 281 million shares and diluted weighted-average shares outstanding to be approximately 288 million shares.
Reconciliation of non-GAAP operating income and unlevered free cash flow after-tax guidance to the most directly comparable GAAP measures is not available without unreasonable effort, as certain items cannot be reasonably predicted because of their high variability, complexity, and low visibility. In particular, the measures and effects of our stock-based compensation expense specific to our equity compensation awards and employer payroll tax-related items on employee stock transactions are directly impacted by the timing of employee stock transactions and unpredictable fluctuations in our stock price, which we expect to have a significant impact on our future GAAP financial results.
Webcast and Conference Call
A conference call to discuss Informatica's first quarter 2022 financial results and financial outlook for the second quarter and full-year 2022 is scheduled for 1:30 p.m. Pacific Time today. To participate, please dial 1-844-200-6205 from the U.S. or 1-646-904-5544 from international locations. The conference passcode is 505719. A live webcast of the conference call will be available on the Investor Relations section of Informatica's website at investors.informatica.com where presentation materials will also be posted prior to the conference call. A replay will be available online approximately two hours following the live call for a period of 30 days.
Forward-Looking Statements
This press release and the related conference call and webcast contain 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. These statements may relate to, but are not limited to, expectations of future operating results or financial performance, including expectations regarding achieving profitability and our GAAP and non-GAAP guidance for the second quarter and 2022 fiscal year, management's plans, priorities, initiatives, and strategies, and expectations regarding growth of our business and partnerships. Forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified. In some cases, you can identify forward-looking statements because they contain words such as "anticipate," "believe," "contemplate," "continue," "could," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "should," "target," "toward," "will," or "would," or the negative of these words or other similar terms or expressions. You should not put undue reliance on any forward-looking statements. Forward-looking statements should not be read as a guarantee of future performance or results and will not necessarily be accurate indications of the times at, or by, which such performance or results will be achieved, if at all.
Forward-looking statements are based on information available at the time those statements are made and are based on current expectations, estimates, forecasts, and projections as well as the beliefs and assumptions of management as of that time with respect to future events. These statements are subject to risks and uncertainties, many of which involve factors or circumstances that are beyond our control, that could cause actual performance or results to differ materially from those expressed in or suggested by the forward-looking statements. In light of these risks and uncertainties, the forward-looking events and circumstances discussed in this press release may not occur and actual results could differ materially from those anticipated or implied in the forward-looking statements. These risks, uncertainties, assumptions, and other factors include, but are not limited to, those related to our business and financial performance, the effects of COVID-19 or other public health crises on our business, results of operations, and financial condition, our ability to attract and retain customers, our ability to develop new products and services and enhance existing products and services, our ability to respond rapidly to emerging technology trends, our ability to execute on our business strategy, including our strategy related to the Informatica IDMC platform, our ability to increase and predict customer consumption of our platform, our ability to compete effectively, and our ability to manage growth.
Further information on these and additional risks, uncertainties, and other factors that could cause actual outcomes and results to differ materially from those included in or contemplated by the forward-looking statements contained in this release are included under the caption "Risk Factors" and elsewhere in our Annual Report on Form 10-K that was filed for the fiscal year ended December 31, 2021, and other filings and reports we make with the Securities and Exchange Commission from time to time, including our Quarterly Report on Form 10-Q that will be filed for the first quarter ended March 31, 2022. All forward-looking statements contained herein are based on information available to us as of the date hereof and we do not assume any obligation to update these statements as a result of new information or future events.
Non-GAAP Financial Measures and Key Business Metrics
We review several operating and financial metrics, including the following unaudited non-GAAP financial measures and key business metrics to evaluate our business, measure our performance, identify trends affecting our business, formulate business plans, and make strategic decisions:
Non-GAAP Financial Measures
In addition to our results determined in accordance with U.S. generally accepted accounting principles (GAAP), we believe the following non-GAAP measures are useful in evaluating our operating performance. We use the following non-GAAP financial measures to evaluate our ongoing operations and for internal planning and forecasting purposes. We believe that these non-GAAP financial measures, when taken collectively, may be helpful to investors because they provide consistency and comparability with past financial performance. However, non-GAAP financial measures are presented for supplemental informational purposes only, have limitations as an analytical tool, and should not be considered in isolation or as a substitute for financial information presented in accordance with GAAP. In addition, other companies, including companies in our industry, may calculate similarly titled non-GAAP measures differently or may use other measures to evaluate their performance, all of which could reduce the usefulness of our non-GAAP financial measures as tools for comparison. A reconciliation is provided below for our non-GAAP financial measures to the most directly comparable financial measures stated in accordance with GAAP. Investors are encouraged to review the related GAAP financial measures and the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP financial measures, and not to rely on any single financial measure to evaluate our business.
Non-GAAP Income from Operations and Non-GAAP Net Income exclude the effect of stock-based compensation expense-related charges, amortization of acquired intangibles, equity compensation related payments, expenses associated with acquisitions, strategic investments and sponsor-related costs, and are adjusted for income tax effects. We believe the presentation of operating results that exclude these non-cash or non-recurring items provides useful supplemental information to investors and facilitates the analysis of our operating results and comparison of operating results across reporting periods.
Adjusted EBITDA represents GAAP net income (loss) as adjusted for income tax benefit (expense), interest income, interest expense, loss on debt refinancing, other income (expense), stock-based compensation, amortization of intangibles, equity compensation related payments, one time fees related to acquisitions, costs related to discrete payments for legal settlements, restructuring costs and executive severance, one-time impairment on restructured facilities, sponsor-related costs, and depreciation. Equity compensation-related payments are related to the repurchase of employee stock options. We believe adjusted EBITDA is an important metric for understanding our business to assess our relative profitability adjusted for balance sheet debt levels.
Unlevered Free Cash Flow (after-tax) represents operating cash flow less purchases of property and equipment and is adjusted for interest payments, equity compensation payments, sponsor management fees, legal settlements, restructuring costs (including payments for impaired leases), and executive severance. We believe this measure provides useful supplemental information to investors because it is an indicator of the strength and performance of our core business operations.
Key Business Metrics
Annual Recurring Revenue (ARR) represents the expected annual billing amounts from all active maintenance and subscription agreements. ARR is calculated based on the contract Monthly Recurring Revenue (MRR) multiplied by 12. MRR is calculated based on the accounting adjusted total contract value divided by the number of months of the agreement based on the start and end dates of each contracted line item. The aggregate ARR calculated at the end of each reported period represents the value of all contracts that are active as of the end of the period, including those contracts that have expired but are still under negotiation for renewal. We typically allow for a grace period of up to 6 months past the original contract expiration quarter during which we engage in the renewal process before we report the contract as lost /inactive. This grace-period ARR amount has been less than 2% of the reported ARR in each period presented. If there is an actual cancellation of an ARR contract, we remove that ARR value at that time. We believe ARR is an important metric for understanding our business since it tracks the annualized cash value collected over a 12-month period for all our recurring contracts, irrespective of whether it is a maintenance contract on a perpetual license, a ratable cloud contract, or an on-premise term-based subscription license.
Maintenance Annual Recurring Revenue represents the portion of ARR only attributable to our maintenance contracts. We believe that Maintenance ARR is a helpful metric for understanding our business since it represents the approximate annualized cash value collected over a 12-month period for all our maintenance contracts. Maintenance ARR includes maintenance contracts supporting our on-premise perpetual licenses. Maintenance ARR should be viewed independently of maintenance revenue and deferred revenue related to our maintenance contracts and is not intended to be combined with or to replace either of those items.
Subscription Annual Recurring Revenue represents the portion of ARR only attributable to our subscription contracts. We believe that Subscription ARR is a helpful metric for understanding our business since it represents the approximate annualized cash value collected over a 12-month period for all our recurring subscription contracts. Subscription ARR excludes maintenance contracts on our perpetual licenses to provide information regarding the period-to-period performance and overall size and scale of our subscription business as we continue to focus our efforts on subscription-based licensing. Subscription ARR should be viewed independently of subscription revenue and deferred revenue related to our subscription contracts and is not intended to be combined with or to replace either of those items.
Cloud Annual Recurring Revenue represents the portion of ARR that is attributable to our hosted cloud contracts. We believe that Cloud ARR is a helpful metric for understanding our business since it represents the approximate annualized cash value collected over a 12-month period for all our recurring Cloud contracts. Cloud ARR is a subset of our overall Subscription ARR, and by providing this breakdown of Cloud ARR, it provides visibility on the size and growth rate of our Cloud ARR within our overall Subscription ARR. Cloud ARR should be viewed independently of subscription revenue and deferred revenue related to our subscription contracts and is not intended to be combined with or to replace either of those items.
Subscription Net Retention Rate compares the contract value for Subscription ARR from the same set of customers at the end of a period compared to the prior year. We treat divisions, segments, or subsidiaries inside companies as separate customers. To calculate our Subscription NRR for a particular period, we first establish the Subscription ARR value at the end of the prior-year period. We subsequently measure the Subscription ARR value at the end of the current period from the same cohort of customers. The net retention rate is then calculated by dividing the aggregate Subscription ARR in the current period by the prior-year period. An increase in the Subscription NRR occurs as a result of price increases on existing contracts, higher consumption of existing products, and sales of additional new subscription products to existing customers exceeding losses from subscription contracts due to cancellations. We believe Subscription NRR is an important metric for understanding our business since it measures the rate at which we are able to sell additional products into our subscription customer base.
Gartner Disclaimer: Gartner does not endorse any vendor, product or service depicted in its research publications, and does not advise technology users to select only those vendors with the highest ratings or other designation. Gartner research publications consist of the opinions of Gartner's research organization and should not be construed as statements of fact. Gartner disclaims all warranties, expressed or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose. GARTNER and Magic Quadrant are registered trademarks and service mark of Gartner, Inc. and/or its affiliates in the U.S. and internationally and are used herein with permission. All rights reserved.
About Informatica
Informatica (NYSE: INFA), an Enterprise Cloud Data Management leader, empowers businesses to realize the transformative power of data. We have pioneered a new category of software, the Informatica Intelligent Data Management Cloud™(IDMC), powered by AI and a cloud-first, cloud-native, end-to-end data management platform that connects, manages, and unifies data across any multi-cloud, hybrid system, empowering enterprises to modernize and advance their data strategies. Over 5,000 customers in more than 100 countries and 85 of the Fortune 100 rely on Informatica to drive data-led digital transformation.
Contacts:
Investor Relations:
Victoria Hyde-Dunn
vhydedunn@informatica.com
Media Relations:
Priya Ramesh
priya@informatica.com
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Ensuring meaningful change in value assessment to recognize diversity, address existing health disparities, and promote equitable access to care
ALEXANDRIA, Va. , April 27, 2022 /PRNewswire/ -- The Innovation and Value Initiative (IVI), a non-profit research organization committed to advancing the science, practice, and use of value assessment in healthcare, today announced the launch of its Health Equity Initiative, a 2-year initiative that aims to define gaps in value assessment methodology and develop best practices that support health equity.
Healthcare value assessment informs decisions that may affect the range of treatments and services that different patient populations have access to and their affordability in the marketplace. It matters how value is assessed, who is involved in the process, and how stakeholders utilize results in decision-making.
IVI is engaging with partners and stakeholders, including patients, employers, payers, manufacturers, researchers, health systems, and policymakers, to understand how equity is (or more often is not) considered within the current methods and practice of value assessment.
"Through this work, IVI has found that without a consistent and intentional focus on equity, we are blind to key differences among patients. Also, current assessments run the risk of reinforcing or even exacerbating inequities that already exist in the U.S. healthcare system," noted Rick Chapman, PhD, Chief Science Officer, IVI.
The IVI Health Equity Initiative's goals include:
- Advancing our understanding of why health equity considerations in value assessment are important;
- Identifying gaps in data collection and methods practices and implications related to health equity;
- Developing "best practice" protocols that inform the practice of value assessment and health technology assessment (HTA) to mitigate these gaps; and
- Achieving multi-stakeholder consensus about areas for further research, scientific practice change, and policy development.
IVI has established a diverse, multidisciplinary advisory body with expertise in health equity and disparities, clinical comparative effectiveness and patient preference research, HEOR methods, value assessment/HTA, and data collection and analytics. Representatives of impacted stakeholder communities - especially patients, patient advocacy and care providers - will co-lead the committee. Additionally, HTA user communities, including payers, purchasers, and employers, will participate in the initiative's future activities.
The IVI Health Equity Initiative Steering Committee:
- Morenike Ayo-Vaughan, MS, Program Officer, Advancing Health Equity, The Commonwealth Fund.
- Tammy Boyd, JD, MPH, Director of Health Policy and Legislative Affairs, The Black Women's Health Imperative
- Vakaramoko Diaby, PhD, MSc, Director, Health Economics and Value Evidence Partnership, Otsuka
- Judith Flores, MD, FAAP, CHCQM, Ambulatory Care Medical Director, New York City Health + Hospitals Woodhull
- Nelly Ganesan, MPH, Executive Director of Community Engagement and Health Equity, JPMorgan Chase – Morgan Health
- Pierluigi Mancini, PhD, Chief Executive Officer, Multicultural Development Institute
- Jacquelyn McRae, PharmD, MS, Director of Policy, Research and Membership, PhRMA
- Eberechukwu Onukwugha, PhD, MS, Associate Professor, Department of Pharmaceutical Health Services Research, University of Maryland School of Pharmacy
- Lauren Powell, PhD, MPA, Vice President, US Health Equity & Community Wellness, Takeda Pharmaceuticals
- Jacob Quinton, MD, MSHS, FACP, Medical Officer, CMS, Center for Medicare and Medicaid Innovation (CMMI)
- Charlene Son Rigby, MBA, Chief Executive Officer, Rare-X
- Bonnie Swenor, PhD, MPH, Director, Johns Hopkins Disability Health Research Center, Johns Hopkins Bloomberg School of Public Health
- Ashley Valentine, MRes, Co-Founder and President, Sick Cells
Learn more about the IVI Health Equity Initiative >> HERE
About IVI
Innovation and Value Initiative (IVI) is a 501(c) (3) tax-exempt non-profit research organization dedicated to advancing the science and improving the practice of value assessment through development of novel methods and the creation and application of enhanced value assessment models to support local decision-making needs in healthcare.
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DALLAS, April 27, 2022 /PRNewswire/ -- The board of directors of Kimberly-Clark Corporation (NYSE: KMB) has declared a regular quarterly dividend of $1.16 per share. The dividend is payable on July 5, 2022, to stockholders of record on June 10, 2022.
This represents the 50th consecutive year that Kimberly-Clark has increased its dividend and the 88th straight year that the company has paid a dividend to shareholders.
Kimberly-Clark (NYSE: KMB) and its trusted brands are an indispensable part of life for people in more than 175 countries. Fueled by ingenuity, creativity, and an understanding of people's most essential needs, we create products that help individuals experience more of what's important to them. Our portfolio of brands, including Huggies, Kleenex, Scott, Kotex, Cottonelle, Poise, Depend, Andrex, Pull-Ups, GoodNites, Intimus, Neve, Plenitud, Sweety, Softex, Viva and WypAll, hold the No. 1 or No. 2 share position in 80 countries. We use sustainable practices that support a healthy planet, build stronger communities, and ensure our business thrives for decades to come. To keep up with the latest news and to learn more about the company's 150-year history of innovation, visit kimberly-clark.com.
[KMB-F]
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SOURCE Kimberly-Clark Corporation | https://www.whsv.com/prnewswire/2022/04/27/kimberly-clark-declares-quarterly-dividend/ | 2022-04-27T20:55:29Z |
Las Vegas Sands Reports First Quarter 2022 Results
Published: Apr. 27, 2022 at 4:18 PM EDT|Updated: 37 minutes ago
For the quarter ended March 31, 2022 (Compared to the quarter ended March 31, 2021)
- Pandemic-Related Restrictions and Reduced Visitation Continue to Impact Financial Results
- Generating Positive Adjusted Property EBITDA at Marina Bay Sands in Singapore
- Ongoing Investments in Capacity Expansion and Enhancement of Property Portfolio in Macao and Singapore Position the Company for Future Growth
- Safety and Security of Team Members and Guests and Support for Local Communities in Macao and Singapore Remain Fundamental to Our Efforts
LAS VEGAS, April 27, 2022 /PRNewswire/ -- Las Vegas Sands Corp. (NYSE: LVS), the world's leading developer and operator of convention-based Integrated Resorts, today reported financial results for the quarter ended March 31, 2022.
"While pandemic-related restrictions continued to impact our financial results this quarter, we were able to generate positive EBITDA at Marina Bay Sands in Singapore, and for the company as a whole. We remain enthusiastic about the opportunity to welcome more guests back to our properties as greater volumes of visitors are eventually able to travel to Macao and Singapore," said Robert G. Goldstein, chairman and chief executive officer. "We also remain steadfast in our commitment to supporting our team members and to helping those in need in each of our local communities as they recover from the impact of the COVID-19 pandemic."
"We remain confident in the recovery of travel and tourism spending across our markets. Demand for our offerings from customers who have been able to visit remains robust, but pandemic-related travel restrictions in both Macao and Singapore continue to limit visitation and hinder our current financial performance."
"Our industry-leading investments in our team members, our communities, and our Integrated Resort property portfolio position us exceedingly well to deliver future growth as these travel restrictions subside and the recovery comes to fruition. We are fortunate that our financial strength supports our investment and capital expenditure programs in both Macao and Singapore, as well as our pursuit of growth opportunities in new markets."
Net revenue was $943 million, compared to $1.20 billion in the prior year quarter. Operating loss was $302 million, compared to $96 million in the prior year quarter. Net loss from continuing operations in the first quarter of 2022 was $478 million, compared to $280 million in the first quarter of 2021.
Consolidated adjusted property EBITDA was $110 million, compared to $244 million in the prior year quarter.
On February 23, 2022, LVS closed the sale of its Las Vegas real property and operations and received approximately $5.05 billion in cash proceeds, before working capital adjustments, transaction costs and income taxes. In addition, the company provided $1.20 billion in seller financing in the form of a six-year secured term loan. The financial position, results of operations and cash flows of the Las Vegas Operating Properties have been presented as a discontinued operation.
Sands China Ltd. Consolidated Financial Results
On a GAAP basis, total net revenues for SCL decreased to $547 million, compared to $771 million in the first quarter of 2021. Net loss for SCL was $336 million, compared to $213 million in the first quarter of 2021.
Other Factors Affecting Earnings
Interest expense, net of amounts capitalized, was $156 million for the first quarter of 2022, compared to $154 million in the prior year quarter. Our weighted average borrowing cost in the first quarter of 2022 was 4.2% compared to 4.4% during the first quarter of 2021, while our weighted average debt balance increased compared to the prior year quarter due to borrowings of $251 million and $201 million under the SCL Credit Facility in October 2021 and March 2022, respectively.
Our income tax expense for the first quarter of 2022 was $2 million, compared to income tax expense of $14 million in the prior year quarter. The income tax expense for the first quarter of 2022 was primarily driven by a 17% statutory rate on our Singapore operations.
Balance Sheet Items
Unrestricted cash balances as of March 31, 2022 were $6.43 billion.
The company has access to $3.48 billion available for borrowing under our U.S., SCL and Singapore revolving credit facilities, net of outstanding letters of credit.
As of March 31, 2022, total debt outstanding, excluding finance leases and financed purchases, was $14.95 billion.
Capital Expenditures
Capital expenditures during the first quarter totaled $137 million, including construction, development and maintenance activities of $84 million in Macao, $50 million at Marina Bay Sands and $3 million in Corporate and Other.
Conference Call Information
The company will host a conference call to discuss the company's results on Wednesday, April 27, 2022 at 1:30 p.m. Pacific Time. Interested parties may listen to the conference call through a webcast available on the company's website at www.sands.com.
Sands is the world's preeminent developer and operator of world-class Integrated Resorts.
Our iconic properties drive valuable leisure and business tourism and deliver significant economic benefits, sustained job creation, financial opportunities for local businesses and community investment to help make our host regions ideal places to live, work and visit.
Sands is dedicated to being a leader in corporate responsibility, anchored by our core tenets of serving people, planet and communities. Our ESG leadership has led to inclusion on the Dow Jones Sustainability Indices for World and North America and recognition as one of Fortune's World's Most Admired Companies. To learn more, visit www.sands.com.
Forward-Looking Statements
This press release contains forward-looking statements made pursuant to the Safe Harbor Provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve a number of risks, uncertainties or other factors beyond the company's control, which may cause material differences in actual results, performance or other expectations. These factors include, but are not limited to: the uncertainty of the extent, duration and effects of the COVID-19 pandemic and the response of governments and other third parties, including government-mandated property closures, vaccine mandates, regular testing requirements, other increased operational regulatory requirements or travel restrictions, on our business, results of operations, cash flows, liquidity and development prospects; risks relating to our gaming license and subconcession, including the extension of our subconcession in Macao that expires on June 26, 2022, the grant of any new concession in Macao and proposed amendments to Macao's gaming laws; general economic conditions; disruptions or reductions in travel and our operations due to natural or man-made disasters, pandemics, epidemics, or outbreaks of infectious or contagious diseases; our ability to invest in future growth opportunities, execute our previously announced capital expenditure programs in both Macao and Singapore, and produce future returns; new development, construction and ventures; government regulation; our subsidiaries' ability to make distribution payments to us; substantial leverage and debt service; benchmark interest rate transitions for some of our debt instruments; fluctuations in currency exchange rates and interest rates; our ability to collect gaming receivables; win rates for our gaming operations; risk of fraud and cheating; our relationship with gaming promoters and customers; competition; tax law changes; political instability, civil unrest, terrorist acts or war; legalization of gaming; insurance; the collectability of our outstanding loans receivable; legal proceedings, judgments or settlements that may be instituted in connection with the sale of our Las Vegas real property and operations; and other factors detailed in the reports filed by Las Vegas Sands Corp. with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date thereof. Las Vegas Sands Corp. assumes no obligation to update such statements and information.
Las Vegas Sands Corp.
First Quarter 2022 Results
Non-GAAP Measures
Within the company's first quarter 2022 press release, the company makes reference to certain non-GAAP financial measures that supplement the company's consolidated financial information prepared in accordance with GAAP including "adjusted net income (loss)," "adjusted earnings (loss) per diluted share," and "consolidated adjusted property EBITDA," which have directly comparable GAAP financial measures along with "adjusted property EBITDA margin," "hold-normalized adjusted property EBITDA," "hold-normalized adjusted property EBITDA margin," "hold-normalized adjusted net income (loss)," and "hold-normalized adjusted earnings (loss) per diluted share." The company believes these measures represent important internal measures of financial performance. Set forth in the financial schedules accompanying this release and presentations included on the company's website are reconciliations of the non-GAAP financial measures to the most directly comparable GAAP financial measures. The non-GAAP financial measure disclosure by the company has limitations and should not be considered a substitute for, or superior to, the financial measures prepared in accordance with GAAP. The definitions of our non-GAAP financial measures and the specific reasons why the company's management believes the presentation of the non-GAAP financial measures provides useful information to investors regarding the company's financial condition, results of operations and cash flows are presented below.
The following non-GAAP financial measures are used by management, as well as industry analysts, to evaluate the company's operations and operating performance. These non-GAAP financial measures are presented so investors have the same financial data management uses in evaluating financial performance with the belief it will assist the investment community in properly assessing the underlying financial performance of the company on a year-over-year and a quarter sequential basis.
Adjusted net income (loss), which is a non-GAAP financial measure, is net income (loss) attributable to Las Vegas Sands excluding certain nonrecurring corporate expenses, pre-opening expense, development expense, gain or loss on disposal or impairment of assets, loss on modification or early retirement of debt, other income or expense and income (loss) from discontinued operations, net of income tax. Adjusted net income (loss) and adjusted earnings (loss) per diluted share are presented as supplemental disclosures as management believes they are (1) each widely used measures of performance by industry analysts and investors and (2) a principal basis for valuation of Integrated Resort companies, as these non-GAAP measures are considered by many as alternative measures on which to base expectations for future results. These measures also form the basis of certain internal management performance expectations.
Consolidated adjusted property EBITDA, which is a non-GAAP financial measure, is net income (loss) from continuing operations before stock-based compensation expense, corporate expense, pre-opening expense, development expense, depreciation and amortization, amortization of leasehold interests in land, gain or loss on disposal or impairment of assets, interest, other income or expense, gain or loss on modification or early retirement of debt and income taxes. Management utilizes consolidated adjusted property EBITDA to compare the operating profitability of its operations with those of its competitors, as well as a basis for determining certain incentive compensation. Integrated Resort companies have historically reported adjusted property EBITDA as a supplemental performance measure to GAAP financial measures. In order to view the operations of their casinos on a more stand-alone basis, Integrated Resort companies, including Las Vegas Sands, have historically excluded certain expenses that do not relate to the management of specific properties, such as pre-opening expense, development expense and corporate expense, from their adjusted property EBITDA calculations. Consolidated adjusted property EBITDA should not be interpreted as an alternative to income (loss) from operations (as an indicator of operating performance) or to cash flows from operations (as a measure of liquidity), in each case, as determined in accordance with GAAP. The company has significant uses of cash flow, including capital expenditures, dividend payments, interest payments, debt principal payments and income tax payments, which are not reflected in consolidated adjusted property EBITDA. Not all companies calculate adjusted property EBITDA in the same manner. As a result, consolidated adjusted property EBITDA as presented by Las Vegas Sands may not be directly comparable to similarly titled measures presented by other companies.
Hold-normalized adjusted property EBITDA, a supplemental non-GAAP financial measure, that, in addition to the aforementioned reasons for the presentation of consolidated adjusted property EBITDA, is presented to adjust for the impact of certain variances in table games' win percentages, which can vary from period to period. Hold-normalized adjusted property EBITDA is based on applying a Rolling Chip win percentage of 3.30% to the Rolling Chip volume for the quarter if the actual win percentage is outside the expected range of 3.15% to 3.45% for our Macao and Singapore properties and applying a win percentage of 22.0% for Baccarat and 20.0% for non-Baccarat games to the respective table games drops for the quarter if the actual win percentages are outside the expected ranges of 18.0% to 26.0% for Baccarat and 16.0% to 24.0% for non-Baccarat at our Las Vegas properties. We do not present adjustments for Non-Rolling Chip drop for our table games play at our Macao and Singapore properties, nor for slots at any of our properties. Hold-normalized adjusted property EBITDA is also adjusted for the estimated gaming taxes, commissions paid, bad debt expense, discounts and other incentives that would have been incurred when applying the win percentages noted above to the respective gaming volumes. The hold-normalized adjusted property EBITDA measure presents a consistent measure for evaluating the operating performance of our properties from period to period.
Hold-normalized adjusted net income (loss) and hold-normalized adjusted earnings (loss) per diluted share are additional supplemental non-GAAP financial measures that, in addition to the aforementioned reasons for the presentation of adjusted net income (loss) and adjusted earnings (loss) per diluted share, are presented to adjust for the impact of certain variances in table games' win percentages, which can vary from period to period.
The company may also present the above items on a constant currency basis. This information is a non-GAAP financial measure that is calculated by translating current quarter local currency amounts to U.S. dollars based on prior period exchange rates. These amounts are compared to the prior period to derive non-GAAP constant-currency growth/decline. Management considers non-GAAP constant-currency growth/decline to be a useful metric to investors and management as it allows a more direct comparison of current performance to historical performance.
The company also makes reference to adjusted property EBITDA margin and hold-normalized adjusted property EBITDA margin, which are calculated using the aforementioned non-GAAP financial measures.
The above press release was provided courtesy of PRNewswire. The views, opinions and statements in the press release are not endorsed by Gray Media Group nor do they necessarily state or reflect those of Gray Media Group, Inc. | https://www.whsv.com/prnewswire/2022/04/27/las-vegas-sands-reports-first-quarter-2022-results/ | 2022-04-27T20:55:35Z |
LendingClub Reports First Quarter 2022 Results Published: Apr. 27, 2022 at 4:06 PM EDT | Updated: 49 minutes ago
Delivers Record Revenue and Net Income Revenue More than Doubles and Net Income Increases Over $85 million Year-over-Year Raises 2022 Outlook
SAN FRANCISCO , April 27, 2022 /PRNewswire/ -- LendingClub Corporation (NYSE: LC), the parent company of LendingClub Bank, America's leading digital marketplace bank, today announced financial results for the first quarter ended March 31, 2022
LendingClub Corporation (NYSE: LC) is the parent company of LendingClub Bank, National Association, Member FDIC. LendingClub Bank is the leading digital marketplace bank in the U.S.(PRNewswire) "We grew our member base beyond four million to serve more everyday Americans who are looking to refinance out of higher cost credit card debt, save more of what they earn and find a better way to bank," said Scott Sanborn , LendingClub's CEO. "With another quarter of record results, we are clearly demonstrating the power of our loyal customers, significant data advantage and differentiated marketplace bank model. We believe we are well positioned to execute on our strategy and outperform the competition while helping our members effectively navigate the ever changing economic landscape."
Record First Quarter 2022 Results
Revenue of $289.5 million grew 174% year-over-year, outpacing originations growth of 117%. LendingClub Bank's net interest margin increased sequentially to 8.6% from 8.3% and was up from 3.3% a year earlier, primarily reflecting growth in personal loans which generate a higher yield. Total loans held for investment (excluding PPP) grew 23% from December 31, 2021 and 116% from March 31, 2021 . Deposits of $4.0 billion were up 27% from December 31, 2021 and 68% from March 31, 2021 , supporting growth in loans held for investment. Provision for credit losses was $52.5 million , reflecting 23% growth in loans held for investment (excluding PPP) from December 31, 2021 . Credit quality of our retained portfolio remained strong given the credit profile of our borrowers with an average FICO of 727. Net income of $40.8 million rose 40% sequentially and by $87.9 million year-over-year. Diluted earnings per share of $0.39 was up 44% sequentially and compared to a loss of $0.49 per share in the first quarter of 2021. The improvement in diluted earnings per share reflected increased revenue and greater operating efficiency. Pre-tax, pre-provision income of $98.3 million increased 33% sequentially and by $126.8 million from the first quarter of 2021, consistent with revenue growth and operating efficiency which drove earnings growth for the same periods.
Three Months Ended
($ in millions)
March 31,2022
December 31,2021
March 31,2021
Total net revenue
$ 289.5
$ 262.2
$ 105.8
Non-interest expense
191.2
188.2
134.3
Pre-tax, pre-provision income (loss)
98.3
74.0
(28.5)
Provision for credit losses
52.5
45.1
21.5
Income tax benefit (expense)
(5.0)
0.2
2.8
Consolidated net income (loss)
$ 40.8
$ 29.1
$ (47.1)
Diluted EPS
$ 0.39
$ 0.27
$ (0.49)
Financial Outlook
(millions)
Second Quarter 2022
Full Year 2022
Versus Prior Full Year 2022Guidance
Total revenue
$295M to $305M
$1.15B to $1.25B
+$50M
Consolidated net income
$40M to $45M
$145M to $165M
+$15M
About LendingClub
LendingClub Corporation (NYSE: LC) is the parent company of LendingClub Bank, National Association, Member FDIC. LendingClub Bank is the leading digital marketplace bank in the U.S., where members can access a broad range of financial products and services designed to help them pay less when borrowing and earn more when saving. Based on more than 150 billion cells of data and over $70 billion in loans, our artificial intelligence-driven credit decisioning and machine-learning models are used across the customer lifecycle to expand seamless access to credit for our members, while generating compelling risk-adjusted returns for our loan investors. Since 2007, more than 4 million members have joined the Club to help reach their financial goals. For more information about LendingClub, visit https://www.lendingclub.com .
Conference Call and Webcast Information
The LendingClub first quarter 2022 webcast and teleconference is scheduled to begin at 2:00 p.m. Pacific Time (or 5:00 p.m. Eastern Time) on Wednesday, April 27, 2022. A live webcast of the call will be available at http://ir.lendingclub.com under the Filings & Financials menu in Quarterly Results. To access the call, please dial +1 (844) 200-6205, or outside the U.S. +1 (929) 526-1599, with Access Code 007261, ten minutes prior to 2:00 p.m. Pacific Time (or 5:00 p.m. Eastern Time). An audio archive of the call will be available at http://ir.lendingclub.com . An audio replay will also be available 1 hour after the end of the call until May 4, 2022, by calling +1 (866) 813-9403 or outside the U.S. +44 (204) 525-0658, with Access Code 997383. LendingClub has used, and intends to use, its investor relations website, blog (http://blog.lendingclub.com ), Twitter handle (@LendingClub) and Facebook page (https://www.facebook.com/LendingClubTeam ) as a means of disclosing material non-public information and to comply with its disclosure obligations under Regulation FD.
Contacts
For Investors:IR@lendingclub.com
Media Contact:Press@lendingclub.com
Safe Harbor Statement
Some of the statements above, including statements regarding our competitive advantages, macroeconomic outlook, anticipated future performance and financial results, are "forward-looking statements." The words "anticipate," "believe," "estimate," "expect," "intend," "may," "outlook," "plan," "predict," "project," "will," "would" and similar expressions may identify forward-looking statements, although not all forward-looking statements contain these identifying words. Factors that could cause actual results to differ materially from those contemplated by these forward-looking statements include: our ability to continue to attract and retain new and existing customers; competition; overall economic conditions; the regulatory environment; demand for the types of loans facilitated by us; default rates and those factors set forth in the section titled "Risk Factors" in our most recent Annual Report on Form 10-K, as filed with the Securities and Exchange Commission, as well as in our subsequent filings with the Securities and Exchange Commission. We may not actually achieve the plans, intentions or expectations disclosed in forward-looking statements, and you should not place undue reliance on forward-looking statements. Actual results or events could differ materially from the plans, intentions and expectations disclosed in forward-looking statements. We do not assume any obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
LENDINGCLUB CORPORATION
OPERATING HIGHLIGHTS
(In thousands, except percentages or as noted)
(Unaudited)
The information in the following tables is presented for the consolidated LendingClub Corporation, unless specifically noted for LendingClub Bank, the company's wholly-owned subsidiary:
As of and for the three months ended
% Change
March 31, 2022
December 31, 2021
September 30,
2021
June 30,
2021
March 31, 2021
Q/Q
Y/Y
Operating Highlights:
Non-interest income
$ 189,857
$ 179,111
$ 180,878
$ 158,476
$ 87,334
6 %
117 %
Net interest income
99,680
83,132
65,288
45,905
18,506
20 %
439 %
Total net revenue
289,537
262,243
246,166
204,381
105,840
10 %
174 %
Non-interest expense
191,204
188,220
178,775
160,139
134,252
2 %
42 %
Pre-tax, pre-provision income (loss)
98,333
74,023
67,391
44,242
(28,412)
33 %
N/M
Provision for credit losses
52,509
45,149
37,524
34,634
21,493
16 %
144 %
Income tax benefit (expense)
(4,988)
234
(2,682)
(237)
2,821
N/M
N/M
Consolidated net income (loss)
$ 40,836
$ 29,108
$ 27,185
$ 9,371
$ (47,084)
40 %
N/M
Basic EPS – common stockholders
$ 0.40
$ 0.29
$ 0.27
$ 0.10
$ (0.49)
38 %
N/M
Diluted EPS – common stockholders
$ 0.39
$ 0.27
$ 0.26
$ 0.09
$ (0.49)
44 %
N/M
LendingClub Bank Performance Metrics:
Net interest margin
8.6 %
8.3 %
7.1 %
5.5 %
3.3 %
Efficiency ratio (1)
63.6 %
69.5 %
67.5 %
69.0 %
104.8 %
Return on average equity (ROE)
22.5 %
21.7 %
26.5 %
34.7 %
N/A
Return on average total assets (ROA)
3.1 %
3.1 %
3.7 %
4.7 %
N/A
LendingClub Bank Capital Ratios:
Common Equity Tier 1 Capital Ratio
16.0 %
16.7 %
18.0 %
18.7 %
20.9 %
Tier 1 Leverage Ratio
13.2 %
14.3 %
14.1 %
13.5 %
12.9 %
Consolidated LendingClub Corporation Performance Metrics:
Net interest margin
8.3 %
7.6 %
6.3 %
4.7 %
1.8 %
Efficiency ratio (1)
66.0 %
71.8 %
72.6 %
78.4 %
126.8 %
Return on average equity (ROE)
18.7 %
14.1 %
13.8 %
5.0 %
N/A
Return on average total assets (ROA)
3.1 %
2.4 %
2.4 %
0.8 %
N/A
Marketing expense as a % of loan originations
1.7 %
1.7 %
1.6 %
1.3 %
1.3 %
Loan originations (in millions) (2) :
Total loan originations
$ 3,217
$ 3,069
$ 3,107
$ 2,722
$ 1,483
5 %
117 %
Marketplace loans
$ 2,360
$ 2,308
$ 2,471
$ 2,182
$ 1,139
2 %
107 %
Loan originations held for investment
$ 856
$ 761
$ 636
$ 541
$ 344
12 %
149 %
Loan originations held for investment as a % of total loan originations
27 %
25 %
20 %
20 %
23 %
Servicing portfolio AUM (in millions) (3)
$ 13,341
$ 12,463
$ 11,592
$ 10,741
$ 10,271
7 %
30 %
Balance Sheet Data:
Loans and leases held for investment, net, excluding PPP loans
$ 3,049,325
$ 2,486,440
$ 2,235,698
$ 1,791,492
$ 1,414,900
23 %
116 %
PPP loans
$ 184,986
$ 268,297
$ 367,558
$ 507,553
$ 664,400
(31) %
(72) %
Total loans and leases held for investment, net
$ 3,234,311
$ 2,754,737
$ 2,603,256
$ 2,299,045
$ 2,079,300
17 %
56 %
Total assets
$ 5,574,425
$ 4,900,319
$ 4,750,760
$ 4,370,101
$ 4,491,089
14 %
24 %
Total deposits
$ 3,977,477
$ 3,135,788
$ 2,838,719
$ 2,539,704
$ 2,373,437
27 %
68 %
Total liabilities
$ 4,686,991
$ 4,050,077
$ 3,945,970
$ 3,607,742
$ 3,757,954
16 %
25 %
Total equity
$ 887,434
$ 850,242
$ 804,790
$ 762,359
$ 733,135
4 %
21 %
Allowance Ratios:
Allowance for loan and lease losses to total loans and leases held for investment
5.5 %
5.0 %
3.9 %
3.0 %
1.7 %
Allowance for loan and lease losses to total loans and leases held for investment, excluding PPP loans
5.8 %
5.5 %
4.5 %
3.8 %
2.5 %
Allowance for loan and lease losses to consumer loans and leases held for investment
6.6 %
6.4 %
5.2 %
4.3 %
2.3 %
Allowance for loan and lease losses to commercial loans and leases held for investment
1.8 %
1.8 %
1.6 %
1.5 %
1.3 %
Allowance for loan and lease losses to commercial loans and leases held for investment, excluding PPP loans
2.3 %
2.6 %
2.6 %
2.8 %
1.7 %
N/M – Not meaningful
N/A – Not applicable
(1)
Calculated as the ratio of non-interest expense to total net revenue.
(2)
Includes unsecured personal loans, auto loans, and education and patient finance loans only.
(3)
Loans serviced on our platform, which includes unsecured personal loans, auto loans and education and patient finance loans serviced for others and retained for investment by the Company.
LENDINGCLUB CORPORATION
LOANS AND LEASES HELD FOR INVESTMENT
(In thousands, except percentages or as noted)
(Unaudited)
March 31, 2022
December 31, 2021
Unsecured personal
$ 2,358,792
$ 1,804,578
Residential mortgages
169,117
151,362
Secured consumer
93,600
65,976
Total consumer loans held for investment
2,621,509
2,021,916
Equipment finance (1)
143,780
149,155
Commercial real estate
313,710
310,399
Commercial and industrial (2)
343,297
417,656
Total commercial loans and leases held for investment
800,787
877,210
Total loans and leases held for investment
3,422,296
2,899,126
Allowance for loan and lease losses
(187,985)
(144,389)
Loans and leases held for investment, net
$ 3,234,311
$ 2,754,737
(1)
Comprised of sales-type leases for equipment.
(2)
Includes $185.0 million and $268.3 million of Paycheck Protection Program (PPP) loans as of March 31, 2022 and December 31, 2021, respectively. Such loans are guaranteed by the Small Business Association and, therefore, the Company determined no allowance for expected credit losses is required on these loans.
LENDINGCLUB CORPORATION
ALLOWANCE FOR LOAN AND LEASE LOSSES
(In thousands, except percentages or as noted)
(Unaudited)
Three Months Ended
March 31, 2022
December 31, 2021
Consumer
Commercial
Total
Consumer
Commercial
Total
Allowance for loan and lease losses, beginning of period
$ 128,812
$ 15,577
$ 144,389
$ 88,631
$ 16,105
$ 104,736
Credit loss expense for loans and leases held for investment
53,718
(1,490)
52,228
45,595
(306)
45,289
Charge-offs
(9,017)
(72)
(9,089)
(5,557)
(313)
(5,870)
Recoveries
344
113
457
143
91
234
Allowance for loan and lease losses, end of period
$ 173,857
$ 14,128
$ 187,985
$ 128,812
$ 15,577
$ 144,389
LENDINGCLUB CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except share and per share data)
(Unaudited)
Three Months Ended
Change (%)
March 31, 2022
December 31, 2021
March 31, 2021
Q1 2022
vs
Q1 2021
Q1 2022
vs
Q4 2021
Non-interest income:
Marketplace revenue (1)
$ 179,966
$ 170,562
$ 81,727
120 %
6 %
Other non-interest income
9,891
8,549
5,607
76 %
16 %
Total non-interest income
189,857
179,111
87,334
117 %
6 %
Interest income:
Interest on loans held for sale
7,450
7,153
5,157
44 %
4 %
Interest and fees on loans and leases held for investment
91,442
76,964
15,301
N/M
19 %
Interest on retail and certificate loans held for investment at fair value
6,969
9,236
20,262
(66) %
(25) %
Interest on other loans held for investment at fair value
593
762
1,479
(60) %
(22) %
Interest on securities available for sale
4,511
3,071
2,235
102 %
47 %
Other interest income
688
469
156
N/M
47 %
Total interest income
111,653
97,655
44,590
150 %
14 %
Interest expense:
Interest on deposits
3,438
2,616
1,014
239 %
31 %
Interest on short-term borrowings
435
561
1,264
(66) %
(22) %
Interest on retail notes, certificates and secured borrowings
6,969
9,236
20,262
(66) %
(25) %
Interest on Structured Program borrowings
764
1,642
3,208
(76) %
(53) %
Interest on other long-term debt
367
468
336
9 %
(22) %
Total interest expense
11,973
14,523
26,084
(54) %
(18) %
Net interest income
99,680
83,132
18,506
N/M
20 %
Total net revenue
289,537
262,243
105,840
174 %
10 %
Provision for credit losses
52,509
45,149
21,493
144 %
16 %
Non-interest expense:
Compensation and benefits
81,610
78,741
64,420
27 %
4 %
Marketing
55,080
50,708
19,545
182 %
9 %
Equipment and software
11,046
12,019
7,893
40 %
(8) %
Occupancy
6,019
4,706
6,900
(13) %
28 %
Depreciation and amortization
11,039
10,462
11,766
(6) %
6 %
Professional services
12,406
12,699
11,603
7 %
(2) %
Other non-interest expense
14,004
18,885
12,125
15 %
(26) %
Total non-interest expense
191,204
188,220
134,252
42 %
2 %
Income before income tax benefit (expense)
45,824
28,874
(49,905)
N/M
59 %
Income tax benefit (expense)
(4,988)
234
2,821
N/M
N/M
Consolidated net income (loss)
$ 40,836
$ 29,108
$ (47,084)
N/M
40 %
Basic EPS – common stockholders
$ 0.40
$ 0.29
$ (0.49)
Diluted EPS – common stockholders
$ 0.39
$ 0.27
$ (0.49)
Weighted-average common shares – Basic
101,493,561
100,320,691
92,666,169
Weighted-average common shares – Diluted
105,052,904
108,096,823
92,666,169
N/M – Not meaningful
(1)
Marketplace revenue consists of the following:
Three Months Ended
Change (%)
March 31, 2022
December 31, 2021
March 31, 2021
Q1 2022
vs
Q1 2021
Q1 2022
vs
Q4 2021
Origination fees
$ 122,093
$ 118,353
$ 55,559
120 %
3 %
Servicing fees
18,514
20,940
23,166
(20) %
(12) %
Gain on sales of loans
24,110
20,569
8,323
190 %
17 %
Net fair value adjustments
15,249
10,700
(5,321)
N/M
43 %
Total marketplace revenue
$ 179,966
$ 170,562
$ 81,727
120 %
6 %
LENDINGCLUB CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS BY SEGMENT
(In thousands, except share and per share data)
(Unaudited)
Three months ended March 31, 2022
LendingClub
Bank
LendingClub
Corporation
(Parent only)
Intercompany
Eliminations
Total
Non-interest income:
Marketplace revenue
$ 164,835
$ 15,131
$ —
$ 179,966
Other non-interest income
19,498
4,223
(13,830)
9,891
Total non-interest income
184,333
19,354
(13,830)
189,857
Interest income:
Interest income
99,823
11,830
—
111,653
Interest expense
(3,644)
(8,329)
—
(11,973)
Net interest income
96,179
3,501
—
99,680
Total net revenue
280,512
22,855
(13,830)
289,537
Provision for credit losses
(52,509)
—
—
(52,509)
Non-interest expense
(178,459)
(26,575)
13,830
(191,204)
Income (Loss) before income tax benefit (expense)
49,544
(3,720)
—
45,824
Income tax benefit (expense)
(12,355)
17,727
(10,360)
(4,988)
Consolidated net income
$ 37,189
$ 14,007
$ (10,360)
$ 40,836
Three Months Ended December 31, 2021
LendingClub
Bank
LendingClub
Corporation
(Parent only)
Intercompany
Eliminations
Total
Non-interest income:
Marketplace revenue
$ 146,936
$ 23,626
$ —
$ 170,562
Other non-interest income
21,520
4,199
(17,170)
8,549
Total non-interest income
168,456
27,825
(17,170)
179,111
Interest income:
Interest income
83,310
14,345
—
97,655
Interest expense
(2,923)
(11,600)
—
(14,523)
Net interest income
80,387
2,745
—
83,132
Total net revenue
248,843
30,570
(17,170)
262,243
Reversal of (Provision for) credit losses
(45,244)
95
—
(45,149)
Non-interest expense
(173,017)
(32,373)
17,170
(188,220)
Income (Loss) before income tax benefit
30,582
(1,708)
—
28,874
Income tax benefit
1,305
20,192
(21,263)
234
Consolidated net income
$ 31,887
$ 18,484
$ (21,263)
$ 29,108
Three Months Ended March 31, 2021
LendingClub
Bank
LendingClub
Corporation
(Parent only)
Intercompany
Eliminations
Total
Non-interest income:
Marketplace revenue
$ 36,062
$ 45,665
$ —
$ 81,727
Other non-interest income
19,700
4,098
(18,191)
5,607
Total non-interest income
55,762
49,763
(18,191)
87,334
Interest income:
Interest income
17,498
27,092
—
44,590
Interest expense
(1,247)
(24,837)
—
(26,084)
Net interest income
16,251
2,255
—
18,506
Total net revenue
72,013
52,018
(18,191)
105,840
Reversal of (Provision for) credit losses
(23,963)
2,470
—
(21,493)
Non-interest expense
(75,499)
(76,944)
18,191
(134,252)
Loss before income tax benefit
(27,449)
(22,456)
—
(49,905)
Income tax benefit
23
2,292
506
2,821
Consolidated net loss
$ (27,426)
$ (20,164)
$ 506
$ (47,084)
LENDINGCLUB BANK
NET INTEREST INCOME
(In thousands, except percentages or as noted)
(Unaudited)
LendingClub Bank
Three Months Ended
March 31, 2022
Three Months Ended
December 31, 2021
Two Months Ended
March 31, 2021
Average Balance
Interest Income/ Expense
Average Yield/ Rate
Average Balance
Interest Income/ Expense
Average Yield/ Rate
Average Balance
Interest Income/ Expense
Average Yield/ Rate
Interest-earning assets (1)
Cash, cash equivalents, restricted cash and other
$ 829,707
$ 683
0.33 %
$ 651,003
$ 468
0.29 %
$ 737,555
$ 138
0.11 %
Securities available for sale at fair value
274,089
1,276
1.86 %
200,091
680
1.36 %
232,001
444
1.15 %
Loans held for sale
228,529
6,422
11.24 %
122,007
5,199
17.04 %
64,720
1,615
14.97 %
Loans and leases held for investment:
Unsecured personal loans
2,060,323
78,376
15.22 %
1,542,285
60,383
15.66 %
146,925
3,392
13.85 %
Secured consumer loans
232,235
2,275
3.92 %
436,260
4,029
3.69 %
521,399
3,215
3.70 %
Commercial loans and leases
620,660
7,588
4.89 %
619,648
8,663
5.59 %
605,495
5,119
5.07 %
PPP loans
222,517
3,203
5.76 %
325,133
3,888
4.78 %
621,292
3,575
3.45 %
Loans and leases held for investment
3,135,735
91,442
11.66 %
2,923,326
76,963
10.53 %
1,895,111
15,301
4.84 %
Total interest-earning assets
4,468,060
99,823
8.94 %
3,896,427
83,310
8.55 %
2,929,387
17,498
3.58 %
Cash and due from banks
46,117
23,362
42,683
Allowance for loan and lease losses
(163,631)
(125,120)
(30,357)
Other non-interest earning assets
390,066
326,402
187,785
Total assets
$ 4,740,612
$ 4,121,071
$ 3,129,498
Interest-bearing liabilities
Interest-bearing deposits
Checking and money market accounts
$ 2,240,450
$ 1,724
0.31 %
$ 2,146,687
$ 1,716
0.32 %
$ 1,735,274
$ 913
0.33 %
Savings accounts and certificates of deposit
1,071,133
1,714
0.65 %
580,361
900
0.62 %
323,800
101
0.19 %
Interest-bearing deposits
3,311,583
3,438
0.42 %
2,727,048
2,616
0.38 %
2,059,074
1,014
0.30 %
Short-term borrowings
165
—
— %
282
—
— %
1,829
0.3
0.09 %
Advances from PPPLF
234,872
206
0.35 %
342,335
307
0.36 %
405,989
233
0.35 %
Total interest-bearing liabilities
3,546,620
3,644
0.42 %
3,069,665
2,923
0.38 %
2,469,726
1,247
0.31 %
Non-interest bearing deposits
300,218
283,066
156,034
Other liabilities
232,018
179,752
68,510
Total liabilities
$ 4,078,856
$ 3,532,483
$ 2,694,270
Total equity
$ 661,756
$ 588,588
$ 435,228
Total liabilities and equity
$ 4,740,612
$ 4,121,071
$ 3,129,498
Interest rate spread
8.52 %
8.17 %
3.27 %
Net interest income and net interest margin
$ 96,179
8.61 %
$ 80,387
8.25 %
$ 16,251
3.33 %
(1)
Nonaccrual loans and any related income are included in their respective loan categories.
LENDINGCLUB CORPORATION
NET INTEREST INCOME (Continued)
(In thousands, except percentages or as noted)
(Unaudited)
Consolidated LendingClub Corporation (1)
Three Months Ended
March 31, 2022
Three Months Ended
December 31, 2021
Three Months Ended
March 31, 2021
Average Balance
Interest Income/ Expense
Average Yield/ Rate
Average Balance
Interest Income/ Expense
Average Yield/ Rate
Average Balance
Interest Income/ Expense
Average Yield/ Rate
Interest-earning assets (2)
Cash, cash equivalents, restricted cash and other
$ 892,921
$ 688
0.31 %
$ 710,472
$ 469
0.26 %
$ 918,148
$ 156
0.10 %
Securities available for sale at fair value
325,155
4,511
5.55 %
265,140
3,071
4.63 %
362,621
2,235
2.71 %
Loans held for sale
255,139
7,450
11.68 %
184,708
7,153
15.49 %
198,592
5,157
12.01 %
Loans and leases held for investment:
Unsecured personal loans
2,060,323
78,376
15.22 %
1,542,285
60,384
15.66 %
146,925
3,392
13.85 %
Secured consumer loans
232,235
2,275
3.92 %
436,260
4,029
3.69 %
521,399
3,215
3.70 %
Commercial loans and leases
620,660
7,588
4.89 %
619,648
8,663
5.59 %
605,495
5,119
5.07 %
PPP loans
222,517
3,203
5.76 %
325,133
3,888
4.78 %
621,292
3,575
3.45 %
Loans and leases held for investment
3,135,735
91,442
11.66 %
2,923,326
76,964
10.53 %
1,895,111
15,301
4.84 %
Retail and certificate loans held for investment at fair value
198,813
6,969
14.02 %
262,548
9,236
14.07 %
574,158
20,262
14.12 %
Other loans held for investment at fair value
18,523
593
12.80 %
24,184
762
12.60 %
46,212
1,479
12.80 %
Total interest-earning assets
4,826,286
111,653
9.25 %
4,370,378
97,655
8.94 %
3,994,842
44,590
5.34 %
Cash and due from banks and restricted cash
92,683
73,258
137,216
Allowance for loan and lease losses
(163,631)
(125,120)
(30,357)
Other non-interest earning assets
486,363
465,010
326,040
Total assets
$ 5,241,701
$ 4,783,526
$ 4,427,741
Interest-bearing liabilities
Interest-bearing deposits:
Checking and money market accounts
$ 2,240,450
$ 1,724
0.31 %
$ 2,146,687
$ 1,716
0.32 %
$ 1,735,274
$ 913
0.33 %
Savings accounts and certificates of deposit
1,071,133
1,714
0.64 %
580,361
900
0.62 %
323,800
101
0.19 %
Interest-bearing deposits
3,311,583
3,438
0.42 %
2,727,048
2,616
0.38 %
2,059,074
1,014
0.30 %
Short-term borrowings
20,371
435
8.56 %
36,823
561
6.08 %
98,818
1,264
5.12 %
Advances from PPPLF
234,872
206
0.35 %
342,335
307
0.36 %
405,989
233
0.35 %
Retail notes, certificates and secured borrowings
198,813
6,969
14.02 %
262,548
9,236
14.07 %
574,192
20,262
14.12 %
Structured Program borrowings
42,026
764
7.29 %
77,354
1,642
8.49 %
143,045
3,208
8.97 %
Other long-term debt
15,421
161
4.19 %
15,514
161
4.15 %
18,605
103
2.21 %
Total interest-bearing liabilities
3,823,086
11,973
1.25 %
3,461,622
14,523
1.68 %
3,299,723
26,084
3.24 %
Non-interest bearing deposits
227,337
211,692
119,272
Other liabilities
319,241
282,339
286,907
Total liabilities
$ 4,369,664
$ 3,955,653
$ 3,705,902
Total equity
$ 872,037
$ 827,873
$ 721,839
Total liabilities and equity
$ 5,241,701
$ 4,783,526
$ 4,427,741
Interest rate spread
8.00 %
7.26 %
2.11 %
Net interest income and net interest margin
$ 99,680
8.26 %
$ 83,132
7.61 %
$ 18,506
2.67 %
(1)
Consolidated presentation reflects intercompany eliminations.
(2)
Nonaccrual loans and any related income are included in their respective loan categories.
LENDINGCLUB CORPORATION
CONSOLIDATED BALANCE SHEETS
(In Thousands, Except Share and Per Share Amounts)
(Unaudited)
March 31, 2022
December 31, 2021
Assets
Cash and due from banks
$ 30,986
$ 35,670
Interest-bearing deposits in banks
1,022,239
651,456
Total cash and cash equivalents
1,053,225
687,126
Restricted cash
60,507
76,460
Securities available for sale at fair value (includes $402,944 and $256,170 at amortized cost, respectively)
390,317
263,530
Loans held for sale (includes $156,730 and $142,370 at fair value, respectively)
156,730
391,248
Loans and leases held for investment
3,422,296
2,899,126
Allowance for loan and lease losses
(187,985)
(144,389)
Loans and leases held for investment, net
3,234,311
2,754,737
Retail and certificate loans held for investment at fair value
168,906
229,719
Other loans held for investment at fair value
15,384
21,240
Property, equipment and software, net
111,503
97,996
Goodwill
75,717
75,717
Other assets
307,825
302,546
Total assets
$ 5,574,425
$ 4,900,319
Liabilities and Equity
Deposits:
Interest-bearing
$ 3,715,847
$ 2,919,203
Noninterest-bearing
261,630
216,585
Total deposits
3,977,477
3,135,788
Short-term borrowings
13,188
27,780
Advances from Paycheck Protection Program Liquidity Facility (PPPLF)
193,371
271,933
Retail notes, certificates and secured borrowings at fair value
168,906
229,719
Payable on Structured Program borrowings
20,347
65,451
Other long-term debt
15,388
15,455
Other liabilities
298,314
303,951
Total liabilities
4,686,991
4,050,077
Equity
Series A Preferred stock, $0.01 par value; 1,200,000 shares authorized; 0 shares issued and outstanding
—
—
Common stock, $0.01 par value; 180,000,000 shares authorized; 102,194,037 and 101,043,924 shares issued and outstanding, respectively
1,022
1,010
Additional paid-in capital (1)
1,576,147
1,609,820
Accumulated deficit (1)
(676,594)
(767,634)
Accumulated other comprehensive income
(13,141)
7,046
Total equity
887,434
850,242
Total liabilities and equity
$ 5,574,425
$ 4,900,319
(1)
As a result of the adoption of Accounting Standards Update 2020-06, reflects a reclassification in the first quarter of 2021 from Accumulated Deficit to Additional Paid-in Capital of the $50.2 million deemed dividend that was recorded in the first quarter of 2020 related to the convertible Series A preferred stock.
LENDINGCLUB CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEETS BY SEGMENT
(In Thousands, Except Share and Per Share Amounts)
(Unaudited)
LendingClub
Bank
LendingClub
Corporation
(Parent only)
Intercompany
Eliminations
Total
March 31, 2022
December 31, 2021
March 31, 2 022
December 31, 2021
March 31, 2022
December 31, 2021
March 31, 2022
December 31, 2021
Assets
Total cash and cash equivalents
$ 1,014,464
$ 659,919
$ 119,711
$ 88,268
$ (80,950)
$ (61,061)
$ 1,053,225
$ 687,126
Restricted cash
—
—
64,165
76,540
(3,658)
(80)
60,507
76,460
Securities available for sale at fair value
345,964
205,730
44,353
57,800
—
—
390,317
263,530
Loans held for sale
145,117
335,449
11,613
55,799
—
—
156,730
391,248
Loans and leases held for investment, net
3,234,311
2,754,737
—
—
—
—
3,234,311
2,754,737
Retail and certificate loans held for investment at fair value
—
—
168,906
229,719
—
—
168,906
229,719
Other loans held for investment at fair value
—
—
15,384
21,240
—
—
15,384
21,240
Property, equipment and software, net
57,482
36,424
54,021
61,572
—
—
111,503
97,996
Investment in subsidiary
—
—
591,051
557,577
(591,051)
(557,577)
—
—
Goodwill
75,717
75,717
—
—
—
—
75,717
75,717
Other assets
292,043
254,075
149,099
168,042
(133,317)
(119,571)
307,825
302,546
Total assets
5,165,098
4,322,051
1,218,303
1,316,557
(808,976)
(738,289)
5,574,425
4,900,319
Liabilities and Equity
Total deposits
4,062,084
3,196,929
—
—
(84,607)
(61,141)
3,977,477
3,135,788
Short-term borrowings
164
165
13,024
27,615
—
—
13,188
27,780
Advances from PPPLF
193,371
271,933
—
—
—
—
193,371
271,933
Retail notes, certificates and secured borrowings at fair value
—
—
168,906
229,719
—
—
168,906
229,719
Payable on Structured Program borrowings
—
—
20,347
65,451
—
—
20,347
65,451
Other long-term debt
—
—
15,388
15,455
—
—
15,388
15,455
Other liabilities
218,365
218,775
143,701
150,727
(63,752)
(65,551)
298,314
303,951
Total liabilities
4,473,984
3,687,802
361,366
488,967
(148,359)
(126,692)
4,686,991
4,050,077
Total equity
691,114
634,249
856,937
827,590
(660,617)
(611,597)
887,434
850,242
Total liabilities and equity
$ 5,165,098
$ 4,322,051
$ 1,218,303
$ 1,316,557
$ (808,976)
$ (738,289)
$ 5,574,425
$ 4,900,319
View original content to download multimedia:
SOURCE LendingClub Corporation
The above press release was provided courtesy of PRNewswire. The views, opinions and statements in the press release are not endorsed by Gray Media Group nor do they necessarily state or reflect those of Gray Media Group, Inc. | https://www.whsv.com/prnewswire/2022/04/27/lendingclub-reports-first-quarter-2022-results/ | 2022-04-27T20:55:42Z |
Over 75 employers and hundreds of career seekers attend in-person career fair at Citizens Bank Park as economic recovery from the pandemic continues.
PHILADELPHIA and MONTGOMERY COUNTIES, Pa., April 27, 2022 /PRNewswire/ -- In response to the national labor shortage, Philadelphia Works Inc. and MontcoWorks, two Mid-Atlantic workforce development boards, recently partnered to host an in-person career fair at Citizens Bank Park. Over 75 businesses representing multiple industries, from healthcare to manufacturing, were able to connect with over 400 career seekers, doubling last year's outcomes for both business and career seeker attendance.
While economic recovery in the region is clear in many areas, indicated by increased wages and stronger consumer behavior, employers see minimal improvement in the labor pool. This becomes a point of frustration when thousands of Philadelphia residents remain unemployed. Workforce development professionals are looking at how the digital divide may play a role in that disconnect.
"The trajectory and rate of our regional economic recovery will continue to be defined by three factors, quality data, strong partnerships, and equitable access to opportunity," said H. Patrick Clancy, president and CEO at Philadelphia Works. "While the pandemic incited the labor shortage, equity and access to employment and training opportunities was already an area of improvement for our workforce system. This in-person, multi-industry hiring event creates access to those who are marginalized by the digital divide. Both In-person and virtual workforce opportunities are necessary for career seekers and businesses to thrive."
The pandemic forced many workers indoors and allowed only those in professional and technical occupation, and access to technology, to continue working. Frontline workers either endured through the pandemic, were laid-off, or chose to exit the labor force.
"As we emerge from the COVID-19 pandemic, worker shortages continue to be a stubborn obstacle to getting our regional economy back on track. Through the hard work of partners like Philadelphia Works, Inc. the City of Philadelphia and all the employers participating in the career fair, we're working aggressively to meet the needs of employers and career seekers alike, to ensure we're providing people with access to the economic opportunities they deserve." Dan Fitzpatrick President, Citizens Mid-Atlantic Region and Board Chair of Philadelphia Works, Inc.
Media Contact:
Dawn Thomas, Director, Communications and Outreach
Philadelphia Works, Inc.
newsroom@philaworks.org - (215) 557.2587
View original content to download multimedia:
SOURCE Philadelphia Works | https://www.whsv.com/prnewswire/2022/04/27/local-workforce-development-boards-partner-connect-talent-over-thousand-regional-job-openings/ | 2022-04-27T20:55:49Z |
GERMANTOWN, Tenn., April 27, 2022 /PRNewswire/ -- Mid-America Apartment Communities, Inc., or MAA (NYSE: MAA), today announced operating results for the quarter ended March 31, 2022.
A reconciliation of FFO and Core FFO to Net income available for MAA common shareholders, and an expanded discussion of the components of FFO and Core FFO, can be found later in this release. FFO per Share – diluted and Core FFO per Share – diluted include diluted common shares and units.
Eric Bolton, Chairman and Chief Executive Officer, said, "Results for the first quarter were ahead of expectations. Continued strong demand for apartment housing is supporting solid rent growth, high occupancy and low resident turnover. Leasing traffic across our portfolio continues to accelerate and we are carrying strong pricing momentum into the busy summer leasing season. We expect leasing conditions will remain very favorable and as a result we have increased our expectations for growth in Core FFO for the year."
First Quarter 2022 Highlights
- During the first quarter of 2022, our Same Store Portfolio generated increases in property revenues, operating expenses and Net Operating Income (NOI) of 12.2%, 4.3% and 16.9%, respectively, as compared to the same period in the prior year.
- As of the end of the first quarter of 2022, MAA had five communities under development, representing 1,759 units once complete, with a total projected cost of $444.0 million and an estimated $251.2 million remaining to be funded.
- During the first quarter of 2022, MAA completed the construction of two development communities, MAA Westglenn located in the Denver, Colorado market, and MAA Park Point located in the Houston, Texas market, and commenced development of MAA Central Park I located in the Denver, Colorado market.
- As of the end of the first quarter of 2022, MAA had four recently completed development communities in lease-up. One community is expected to stabilize in the third quarter of 2022, one in the fourth quarter of 2022 and two in the first quarter of 2023.
- During the first quarter of 2022, MAA completed the initial lease-up of MAA Midtown Phoenix (previously referred to as Novel Midtown), located in the Phoenix, Arizona market.
- MAA completed redevelopment of 1,098 apartment homes during the first quarter of 2022, capturing average rental rate increases of approximately 11% above non-renovated units.
- Moody's Investors Service affirmed MAA's long-term debt rating as Baa1 and revised their outlook from Stable to Positive.
Same Store Portfolio Operating Results
To ensure comparable reporting with prior periods, the Same Store Portfolio includes properties that were owned by MAA and stabilized at the beginning of the previous year.
Same Store Portfolio results for the first quarter of 2022 as compared to the same period in the prior year are summarized below:
Same Store Portfolio operating statistics for the first quarter of 2022 are summarized below:
Same Store Portfolio lease pricing for leases effective during the first quarter of 2022, as compared to the prior lease, increased 16.1% for leases to new move-in residents and increased 17.5% for renewing leases, which produced an increase of 16.8% for both new and renewing leases on a blended basis.
A reconciliation of NOI, including Same Store NOI, to net income available for MAA common shareholders, and an expanded discussion of the components of NOI, can be found later in this release.
Development and Lease-up Activity
A summary of MAA's development communities under construction as of the end of the first quarter of 2022 is set forth below (dollars in thousands):
The expected average stabilized NOI yield on these communities is 5.7%. During the first quarter of 2022, MAA funded $42.8 million of costs for current and completed projects, including predevelopment activities related to land parcels located in the Denver, Colorado market and the Tampa, Florida market.
During the first quarter of 2022, MAA completed the construction of MAA Westglenn and MAA Park Point, and those apartment communities moved into MAA's lease-up portfolio. A summary of the total units, cost and the average physical occupancy of MAA's lease-up communities as of the end of the first quarter of 2022 is set forth below (dollars in thousands):
Property Redevelopment and Repositioning Activity
A summary of MAA's interior redevelopment program and Smart Home technology initiative as of the end of the first quarter of 2022 is set forth below:
As of March 31, 2022, MAA had completed installation of the Smart Home technology (unit entry locks, mobile control of lights and thermostat and leak monitoring) in over 58,000 units across its apartment community portfolio since the initiative began.
During the first quarter of 2022, MAA continued its property repositioning program to upgrade and reposition the amenity and common areas at select apartment communities. The program includes targeted plans to move all units at the properties to higher rents that are expected to deliver yields on cost averaging 8%. During the three months ended March 31, 2022, work continued on properties selected for this program in 2021. For the three months ended March 31, 2022, MAA spent $3.8 million on this program.
Acquisition Activity
In March 2022, MAA acquired a four acre land parcel located in the Denver, Colorado market for future development. MAA expects to begin multifamily development projects on four to six land parcels currently owned or under contract over the next 18 to 24 months.
Capital Expenditures
A summary of MAA's capital expenditures and Funds Available for Distribution (FAD) for the first quarter of 2022 is set forth below (dollars in millions, except per Share data):
A reconciliation of FFO, Core FFO, Core AFFO and FAD to net income available for MAA common shareholders, and an expanded discussion of the components of FFO, Core FFO, Core AFFO and FAD, can be found later in this release.
Balance Sheet and Financing Activities
As of March 31, 2022, MAA had $1.0 billion of combined cash and available capacity under MAALP's unsecured revolving credit facility. MAALP refers to Mid-America Apartments, L.P., which is MAA's operating partnership.
Dividends and distributions paid on shares of common stock and noncontrolling interests during the first quarter of 2022 were $128.9 million, as compared to $121.4 million for the same period in the prior year.
Balance sheet highlights as of March 31, 2022, are summarized below (dollars in billions):
A reconciliation of Adjusted EBITDAre to Net income and a reconciliation of Net Debt to Unsecured notes payable and Secured notes payable, along with an expanded discussion of the components of Adjusted EBITDAre and Net Debt can be found later in this release.
113th Consecutive Quarterly Common Dividend Declared
MAA declared its 113th consecutive quarterly common dividend, which will be paid on April 29, 2022 to holders of record on April 14, 2022. The current annual dividend rate is $4.35 per common share. The timing and amount of future dividends will depend on actual cash flows from operations, MAA's financial condition, capital requirements, the annual distribution requirements under the REIT provisions of the Internal Revenue Code of 1986 and other factors as MAA's Board of Directors deems relevant. MAA's Board of Directors may modify the dividend policy from time to time.
2022 Earnings and Same Store Portfolio Guidance
MAA is updating its prior 2022 guidance for Net income per diluted common share, Core FFO per Share and Core AFFO per Share, along with its expectations for growth of Property revenue, Property operating expense and NOI for the Same Store Portfolio in 2022. MAA expects to update its 2022 Net income per diluted common share, Core FFO per Share and Core AFFO per Share guidance on a quarterly basis.
FFO, Core FFO and Core AFFO are non-GAAP financial measures. Acquisition and disposition activity materially affects depreciation and capital gains or losses, which combined, generally represent the majority of the difference between Net income available for common shareholders and FFO. As discussed in the definitions of non-GAAP financial measures found later in this release, MAA's definition of FFO is in accordance with the National Association of Real Estate Investment Trusts', or NAREIT's, definition, and Core FFO represents FFO further adjusted for items that are not considered part of MAA's core business operations. MAA believes that Core FFO is helpful in understanding operating performance in that Core FFO excludes not only depreciation expense of real estate assets and certain other non-routine items, but it also excludes certain items that by their nature are not comparable over periods and therefore tend to obscure actual operating performance.
MAA expects Core FFO for the second quarter of 2022 to be in the range of $1.89 to $2.05 per Share, or $1.97 per Share at the midpoint. MAA does not forecast Net income per diluted common share on a quarterly basis as MAA generally cannot predict the timing of forecasted acquisition and disposition activity within a particular quarter (rather than during the course of the full year). Additional details and guidance items are provided in the Supplemental Data to this release.
Supplemental Material and Conference Call
Supplemental data to this release can be found on the "For Investors" page of the MAA website at www.maac.com. MAA will host a conference call to further discuss first quarter results on April 28, 2022, at 9:00 AM Central Time. The conference call-in number is 877-830-2598. You may also join the live webcast of the conference call by accessing the "For Investors" page of the MAA website at www.maac.com. MAA's filings with the Securities and Exchange Commission (SEC) are filed under the registrant names of Mid-America Apartment Communities, Inc. and Mid-America Apartments, L.P.
About MAA
MAA, an S&P 500 company, is a real estate investment trust (REIT) focused on delivering full-cycle and superior investment performance for shareholders through the ownership, management, acquisition, development and redevelopment of quality apartment communities primarily in the Southeast, Southwest and Mid-Atlantic regions of the United States. As of March 31, 2022, MAA had ownership interest in 101,959 apartment units, including communities currently in development, across 16 states and the District of Columbia. For further details, please visit the MAA website at www.maac.com or contact Investor Relations at investor.relations@maac.com, or via mail at MAA, 6815 Poplar Ave., Suite 500, Germantown, TN 38138, Attn: Investor Relations.
Forward-Looking Statements
Sections of this release contain 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, with respect to our expectations for future periods. Forward-looking statements do not discuss historical fact, but instead include statements related to expectations, projections, intentions or other items related to the future. Such forward-looking statements include, without limitation, statements regarding the potential impact of the ongoing COVID-19 pandemic on our business, statements regarding expected operating performance and results, property stabilizations, property acquisition and disposition activity, joint venture activity, development and renovation activity and other capital expenditures, and capital raising and financing activity, as well as lease pricing, revenue and expense growth, occupancy, interest rate and other economic expectations. Words such as "expects," "anticipates," "intends," "plans," "believes," "seeks," "estimates," "forecasts," "projects," "assumes," "will," "may," "could," "should," "budget," "target," "outlook," "guidance" and variations of such words and similar expressions are intended to identify such forward-looking statements. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, as described below, which may cause our actual results, performance or achievements to be materially different from the results of operations, financial conditions or plans expressed or implied by such forward-looking statements. Although we believe that the assumptions underlying the forward-looking statements contained herein are reasonable, any of the assumptions could be inaccurate, and therefore such forward-looking statements included in this release may not prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by us or any other person that the results or conditions described in such statements or our objectives and plans will be achieved.
The following factors, among others, could cause our actual results, performance or achievements to differ materially from those expressed or implied in the forward-looking statements:
- the COVID-19 pandemic and measures taken or that may be taken by federal, state and local governmental authorities to combat the spread of the disease;
- inability to generate sufficient cash flows due to unfavorable economic and market conditions, changes in supply and/or demand, competition, uninsured losses, changes in tax and housing laws, or other factors;
- exposure to risks inherent in investments in a single industry and sector;
- adverse changes in real estate markets, including, but not limited to, the extent of future demand for multifamily units in our significant markets, barriers of entry into new markets which we may seek to enter in the future, limitations on our ability to increase or collect rental rates, competition, our ability to identify and consummate attractive acquisitions or development projects on favorable terms, our ability to consummate any planned dispositions in a timely manner on acceptable terms, and our ability to reinvest sale proceeds in a manner that generates favorable returns;
- failure of development communities to be completed within budget and on a timely basis, if at all, to lease-up as anticipated or to achieve anticipated results;
- unexpected capital needs;
- material changes in operating costs, including real estate taxes, utilities and insurance costs, due to inflation and other factors;
- inability to obtain appropriate insurance coverage at reasonable rates, or at all, or losses from catastrophes in excess of our insurance coverage;
- ability to obtain financing at favorable rates, if at all, or refinance existing debt as it matures;
- level and volatility of interest or capitalization rates or capital market conditions;
- the effect of any rating agency actions on the cost and availability of new debt financing;
- the effect of the phase-out of the London Interbank Offered Rate (LIBOR) as a variable rate debt benchmark and the transition to a different benchmark interest rate;
- significant change in the mortgage financing market or other factors that would cause single-family housing or other alternative housing options, either as an owned or rental product, to become a more significant competitive product;
- ability to continue to satisfy complex rules in order to maintain our status as a REIT for federal income tax purposes, the ability of MAALP to satisfy the rules to maintain its status as a partnership for federal income tax purposes, the ability of our taxable REIT subsidiaries to maintain their status as such for federal income tax purposes, and our ability and the ability of our subsidiaries to operate effectively within the limitations imposed by these rules;
- inability to attract and retain qualified personnel;
- cyber liability or potential liability for breaches of our or our service providers' information technology systems, or business operations disruptions;
- potential liability for environmental contamination;
- changes in the legal requirements we are subject to, or the imposition of new legal requirements, that adversely affect our operations;
- extreme weather, natural disasters, disease outbreaks and other public health events;
- impact of climate change on our properties or operations;
- legal proceedings or class action lawsuits;
- impact of reputational harm caused by negative press or social media postings of our actions or policies, whether or not warranted;
- compliance costs associated with numerous federal, state and local laws and regulations; and
- other risks identified in this release and in reports we file with the SEC or in other documents that we publicly disseminate.
New factors may also emerge from time to time that could have a material adverse effect on our business. Except as required by law, we undertake no obligation to publicly update or revise forward-looking statements contained in this release to reflect events, circumstances or changes in expectations after the date of this release.
NON-GAAP FINANCIAL MEASURES
Adjusted EBITDAre
For purposes of calculations in this release, Adjusted Earnings Before Interest, Income Taxes, Depreciation and Amortization for real estate, or Adjusted EBITDAre, represents EBITDAre further adjusted for items that are not considered part of MAA's core operations such as adjustments related to the fair value of the embedded derivative in the MAA Series I preferred shares, gain or loss on sale of non-depreciable assets, gain or loss on investments, net casualty gain or loss, gain or loss on debt extinguishment, legal costs and settlements, net, COVID-19 related costs and mark-to-market debt adjustments. As an owner and operator of real estate, MAA considers Adjusted EBITDAre to be an important measure of performance from core operations because Adjusted EBITDAre does not include various income and expense items that are not indicative of operating performance. MAA's computation of Adjusted EBITDAre may differ from the methodology utilized by other companies to calculate Adjusted EBITDAre. Adjusted EBITDAre should not be considered as an alternative to Net income as an indicator of operating performance.
Core Adjusted Funds from Operations (Core AFFO)
Core AFFO is composed of Core FFO less recurring capital expenditures. Core AFFO should not be considered as an alternative to Net income available for MAA common shareholders as an indicator of operating performance. As an owner and operator of real estate, MAA considers Core AFFO to be an important measure of performance from operations because Core AFFO measures the ability to control revenues, expenses and recurring capital expenditures.
Core Funds from Operations (Core FFO)
Core FFO represents FFO as adjusted for items that are not considered part of MAA's core business operations such as adjustments related to the fair value of the embedded derivative in the MAA Series I preferred shares, gain or loss on sale of non-depreciable assets, gain or loss on investments, net casualty gain or loss, gain or loss on debt extinguishment, legal costs and settlements, net, COVID-19 related costs and mark-to-market debt adjustments. While MAA's definition of Core FFO may be similar to others in the industry, MAA's methodology for calculating Core FFO may differ from that utilized by other REITs and, accordingly, may not be comparable to such other REITs. Core FFO should not be considered as an alternative to Net income available for MAA common shareholders as an indicator of operating performance. MAA believes that Core FFO is helpful in understanding its core operating performance between periods in that it removes certain items that by their nature are not comparable over periods and therefore tend to obscure actual operating performance.
EBITDA
For purposes of calculations in this release, Earnings Before Interest, Income Taxes, Depreciation and Amortization, or EBITDA, is composed of net income plus depreciation and amortization, interest expense, and income taxes. As an owner and operator of real estate, MAA considers EBITDA to be an important measure of performance from core operations because EBITDA does not include various expense items that are not indicative of operating performance. EBITDA should not be considered as an alternative to Net income as an indicator of operating performance.
EBITDAre
For purposes of calculations in this release, Earnings Before Interest, Income Taxes, Depreciation and Amortization for real estate, or EBITDAre, is composed of EBITDA further adjusted for the gain or loss on sale of depreciable asset sales and plus adjustments to reflect MAA's share of EBITDAre of unconsolidated affiliates. As an owner and operator of real estate, MAA considers EBITDAre to be an important measure of performance from core operations because EBITDAre does not include various expense items that are not indicative of operating performance. While MAA's definition of EBITDAre is in accordance with NAREIT's definition, it may differ from the methodology utilized by other companies to calculate EBITDAre. EBITDAre should not be considered as an alternative to Net income as an indicator of operating performance.
Funds Available for Distribution (FAD)
FAD is composed of Core FFO less total capital expenditures, excluding development spending, property acquisitions and capital expenditures relating to significant casualty losses that management expects to be reimbursed by insurance proceeds. FAD should not be considered as an alternative to Net income available for MAA common shareholders as an indicator of operating performance. As an owner and operator of real estate, MAA considers FAD to be an important measure of performance from core operations because FAD measures the ability to control revenues, expenses and total capital expenditures.
Funds From Operations (FFO)
FFO represents net income available for MAA common shareholders (calculated in accordance with GAAP) excluding gain or loss on disposition of operating properties and asset impairment, plus depreciation and amortization of real estate assets, net income attributable to noncontrolling interests, and adjustments for joint ventures. Because net income attributable to noncontrolling interests is added back, FFO, when used in this document, represents FFO attributable to the Company. While MAA's definition of FFO is in accordance with NAREIT's definition, it may differ from the methodology for calculating FFO utilized by other companies and, accordingly, may not be comparable to such other companies. FFO should not be considered as an alternative to Net income available for MAA common shareholders as an indicator of operating performance. MAA believes that FFO is helpful in understanding operating performance in that FFO excludes depreciation and amortization of real estate assets. MAA believes that GAAP historical cost depreciation of real estate assets is generally not correlated with changes in the value of those assets, whose value does not diminish predictably over time, as historical cost depreciation implies.
Gross Assets
Gross Assets represents Total assets plus Accumulated depreciation. MAA believes that Gross Assets can be used as a helpful tool in evaluating its balance sheet positions. MAA believes that GAAP historical cost depreciation of real estate assets is generally not correlated with changes in the value of those assets, whose value does not diminish predictably over time, as historical cost depreciation implies.
NON-GAAP FINANCIAL MEASURES (Continued)
Gross Real Estate Assets
Gross Real Estate Assets represents Real estate assets, net plus Accumulated depreciation, Cash and cash equivalents and 1031(b) exchange proceeds included in Restricted cash. MAA believes that Gross Real Estate Assets can be used as a helpful tool in evaluating its balance sheet positions. MAA believes that GAAP historical cost depreciation of real estate assets is generally not correlated with changes in the value of those assets, whose value does not diminish predictably over time, as historical cost depreciation implies.
Net Debt
Net Debt represents Unsecured notes payable and Secured notes payable less Cash and cash equivalents and 1031(b) exchange proceeds included in Restricted cash. MAA believes Net Debt is a helpful tool in evaluating its debt position.
Net Operating Income (NOI)
Net Operating Income represents Rental and other property revenues less Total property operating expenses, excluding depreciation and amortization, for all properties held during the period, regardless of their status as held for sale. NOI should not be considered as an alternative to Net income available for MAA common shareholders. MAA believes NOI is a helpful tool in evaluating operating performance because it measures the core operations of property performance by excluding corporate level expenses and other items not related to property operating performance.
Non-Same Store and Other NOI
Non-Same Store and Other NOI represents Rental and other property revenues less Total property operating expenses, excluding depreciation and amortization, for all properties classified within the Non-Same Store and Other Portfolio during the period. Non-Same Store and Other NOI should not be considered as an alternative to Net income available for MAA common shareholders. MAA believes Non-Same Store and Other NOI is a helpful tool in evaluating operating performance because it measures the core operations of property performance by excluding corporate level expenses and other items not related to property operating performance.
Same Store NOI
Same Store NOI represents Rental and other property revenues less Total property operating expenses, excluding depreciation and amortization, for all properties classified within the Same Store Portfolio during the period. Same Store NOI should not be considered as an alternative to Net income available for MAA common shareholders. MAA believes Same Store NOI is a helpful tool in evaluating operating performance because it measures the core operations of property performance by excluding corporate level expenses and other items not related to property operating performance.
OTHER KEY DEFINITIONS
Average Effective Rent per Unit
Average Effective Rent per Unit represents the average of gross rent amounts after the effect of leasing concessions for occupied units plus prevalent market rates asked for unoccupied units, divided by the total number of units. Leasing concessions represent discounts to the current market rate. MAA believes average effective rent is a helpful measurement in evaluating average pricing. It does not represent actual rental revenue collected per unit.
Average Physical Occupancy
Average Physical Occupancy represents the average of the daily physical occupancy for an applicable period.
Development Communities
Communities remain identified as development until certificates of occupancy are obtained for all units under development. Once all units are delivered and available for occupancy, the community moves into the Lease-up Communities portfolio.
Lease-up Communities
New acquisitions acquired during lease-up and newly developed communities remain in the Lease-up Communities portfolio until stabilized. Communities are considered stabilized after achieving 90% average physical occupancy for 90 days.
Non-Same Store and Other Portfolio
Non-Same Store and Other Portfolio includes recently acquired communities, communities in development or lease-up, communities that have been identified for disposition, communities that have undergone a significant casualty loss, stabilized communities that do not meet the requirements defined by the Same Store Portfolio, retail properties and commercial properties.
Resident Turnover
Resident turnover represents resident move outs excluding transfers within the Same Store Portfolio as a percentage of expiring leases on a rolling twelve month basis as of the end of the reported quarter.
Same Store Portfolio
MAA reviews its Same Store Portfolio at the beginning of each calendar year, or as significant transactions or events warrant. Communities are generally added into the Same Store Portfolio if they were owned and stabilized at the beginning of the previous year. Communities are considered stabilized after achieving 90% average physical occupancy for 90 days. Communities that have been approved by MAA's Board of Directors for disposition are excluded from the Same Store Portfolio. Communities that have undergone a significant casualty loss are also excluded from the Same Store Portfolio.
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SOURCE MAA | https://www.whsv.com/prnewswire/2022/04/27/maa-reports-first-quarter-2022-results/ | 2022-04-27T20:55:57Z |
MENLO PARK, Calif., April 27, 2022 /PRNewswire/ -- Meta Platforms, Inc. (Nasdaq: FB) today reported financial results for the quarter ended March 31, 2022.
"We made progress this quarter across a number of key company priorities and we remain confident in the long-term opportunities and growth that our product roadmap will unlock," said Mark Zuckerberg, Meta founder and CEO. "More people use our services today than ever before, and I'm proud of how our products are serving people around the world."
First Quarter 2022 Financial Highlights
First Quarter 2022 Operational and Other Financial Highlights
- Family daily active people (DAP) – DAP was 2.87 billion on average for March 2022, an increase of 6% year-over-year.
- Family monthly active people (MAP) – MAP was 3.64 billion as of March 31, 2022, an increase of 6% year-over-year.
- Facebook daily active users (DAUs) – DAUs were 1.96 billion on average for March 2022, an increase of 4% year-over-year.
- Facebook monthly active users (MAUs) – MAUs were 2.94 billion as of March 31, 2022, an increase of 3% year-over-year.
- Ad impressions and price per ad – In the first quarter of 2022, ad impressions delivered across our Family of Apps increased by 15% year-over-year and the average price per ad decreased by 8% year-over-year.
- Capital expenditures – Capital expenditures, including principal payments on finance leases, were $5.55 billion for the first quarter of 2022.
- Share repurchases – We repurchased $9.39 billion of our Class A common stock in the first quarter of 2022. As of March 31, 2022, we had $29.41 billion available and authorized for repurchases.
- Cash and cash equivalents and marketable securities – Cash and cash equivalents and marketable securities were $43.89 billion as of March 31, 2022.
- Headcount – Headcount was 77,805 as of March 31, 2022, an increase of 28% year-over-year.
CFO Outlook Commentary
We expect second quarter 2022 total revenue to be in the range of $28-30 billion. This outlook reflects a continuation of the trends impacting revenue growth in the first quarter, including softness in the back half of the first quarter that coincided with the war in Ukraine. Our guidance assumes foreign currency will be approximately a 3% headwind to year-over-year growth in the second quarter, based on current exchange rates.
In addition, as noted on previous calls, we continue to monitor developments regarding the viability of transatlantic data transfers and their potential impact on our European operations, and we are pleased with the progress on a political agreement.
We expect 2022 total expenses to be in the range of $87-92 billion, lowered from our prior outlook of $90-95 billion. We expect 2022 expense growth to be driven primarily by the Family of Apps segment, followed by Reality Labs.
We expect 2022 capital expenditures, including principal payments on finance leases, to be in the range of $29-34 billion, unchanged from our prior estimate.
Absent any changes to U.S. tax law, we expect our full-year 2022 tax rate to be above the first quarter rate and in the high teens.
Webcast and Conference Call Information
Meta will host a conference call to discuss the results at 2 p.m. PT / 5 p.m. ET today. The live webcast of Meta's earnings conference call can be accessed at investor.fb.com, along with the earnings press release, financial tables, and slide presentation. Meta uses the investor.fb.com and about.fb.com/news/ websites as well as Mark Zuckerberg's Facebook Page (facebook.com/zuck) and Instagram account (instagram.com/zuck) as means of disclosing material non-public information and for complying with its disclosure obligations under Regulation FD.
Following the call, a replay will be available at the same website. A telephonic replay will be available for one week following the conference call at +1 (416) 626-4100 or +1 (800) 558-5253, conference ID 22016731.
Transcripts of conference calls with publishing equity research analysts held today will also be posted to the investor.fb.com website.
About Meta
Meta builds technologies that help people connect, find communities, and grow businesses. When Facebook launched in 2004, it changed the way people connect. Apps like Messenger, Instagram and WhatsApp further empowered billions around the world. Now, Meta is moving beyond 2D screens toward immersive experiences like augmented and virtual reality to help build the next evolution in social technology.
Contacts
Investors:
Deborah Crawford
investor@fb.com / investor.fb.com
Press:
Ryan Moore
press@fb.com / about.fb.com/news/
Forward-Looking Statements
This press release contains forward-looking statements regarding our future business plans and expectations. These forward-looking statements are only predictions and may differ materially from actual results due to a variety of factors including: the impact of macroeconomic conditions on our business and financial results, including as a result of the ongoing COVID-19 pandemic and geopolitical events; our ability to retain or increase users and engagement levels; our reliance on advertising revenue; our dependency on data signals and mobile operating systems, networks, and standards that we do not control; changes to the content or application of third-party policies that impact our advertising practices; risks associated with new products and changes to existing products as well as other new business initiatives, including our metaverse efforts; our emphasis on community growth and engagement and the user experience over short-term financial results; maintaining and enhancing our brand and reputation; our ongoing privacy, safety, security, and content review efforts; competition; risks associated with government actions that could restrict access to our products or impair our ability to sell advertising in certain countries; litigation and government inquiries; privacy and regulatory concerns; risks associated with acquisitions; security breaches; and our ability to manage growth and geographically-dispersed operations. These and other potential risks and uncertainties that could cause actual results to differ from the results predicted are more fully detailed under the caption "Risk Factors" in our Annual Report on Form 10-K filed with the SEC on February 3, 2022, which is available on our Investor Relations website at investor.fb.com and on the SEC website at www.sec.gov. Additional information will also be set forth in our Quarterly Report on Form 10-Q for the quarter ended March 31, 2022. In addition, please note that the date of this press release is April 27, 2022, and any forward-looking statements contained herein are based on assumptions that we believe to be reasonable as of this date. We undertake no obligation to update these statements as a result of new information or future events.
Non-GAAP Financial Measures
To supplement our condensed consolidated financial statements, which are prepared and presented in accordance with generally accepted accounting principles in the United States (GAAP), we use the following non-GAAP financial measures: revenue excluding foreign exchange effect, advertising revenue excluding foreign exchange effect and free cash flow. The presentation of these financial measures is not intended to be considered in isolation or as a substitute for, or superior to, financial information prepared and presented in accordance with GAAP. Investors are cautioned that there are material limitations associated with the use of non-GAAP financial measures as an analytical tool. In addition, these measures may be different from non-GAAP financial measures used by other companies, limiting their usefulness for comparison purposes. We compensate for these limitations by providing specific information regarding the GAAP amounts excluded from these non-GAAP financial measures.
We believe these non-GAAP financial measures provide investors with useful supplemental information about the financial performance of our business, enable comparison of financial results between periods where certain items may vary independent of business performance, and allow for greater transparency with respect to key metrics used by management in operating our business.
We exclude the following items from our non-GAAP financial measures:
Foreign exchange effect on revenue. We translated revenue for the three months ended March 31, 2022 using the prior year's monthly exchange rates for our settlement or billing currencies other than the U.S. dollar, which we believe is a useful metric that facilitates comparison to our historical performance.
Purchases of property and equipment; Principal payments on finance leases. We subtract both purchases of property and equipment, net of proceeds and principal payments on finance leases in our calculation of free cash flow because we believe that these two items collectively represent the amount of property and equipment we need to procure to support our business, regardless of whether we procure such property or equipment with a finance lease. We believe that this methodology can provide useful supplemental information to help investors better understand underlying trends in our business. Free cash flow is not intended to represent our residual cash flow available for discretionary expenditures.
For more information on our non-GAAP financial measures and a reconciliation of GAAP to non-GAAP measures, please see the "Reconciliation of GAAP to Non-GAAP Results" table in this press release.
Segment Results
We report our financial results for our two reportable segments: Family of Apps (FoA) and Reality Labs (RL). FoA includes Facebook, Instagram, Messenger, WhatsApp, and other services. RL includes augmented and virtual reality related consumer hardware, software, and content.
The following table presents our segment information of revenue and income (loss) from operations. For comparative purposes, amounts in the prior period have been recast:
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SOURCE Meta | https://www.whsv.com/prnewswire/2022/04/27/meta-reports-first-quarter-2022-results/ | 2022-04-27T20:56:04Z |
- Full results from the registration-enabling Phase 2 cohort of the KRYSTAL-1 study evaluating adagrasib in patients with pre-treated non-small cell lung cancer (NSCLC) harboring a KRASG12C mutation
- Late-breaking data on adagrasib in patients with KRASG12C-mutated NSCLC with active and untreated central nervous system (CNS) metastases
- Company to host Virtual Investor Event on Monday, June 6, 2022 at 8 PM ET/7 PM CT to discuss highlights from ASCO 2022
SAN DIEGO, April 27, 2022 /PRNewswire/ -- Mirati Therapeutics, Inc. (Nasdaq: MRTX), a clinical-stage targeted oncology company today announced the presentation of new clinical research showcasing the potential of its investigational KRASG12C inhibitor, adagrasib, in a study of patients with KRASG12C-mutated non-small cell lung cancer (NSCLC) at the 2022 American Society of Clinical Oncology (ASCO) Annual Meeting taking place June 3 to 7, 2022 in Chicago, IL.
"Mirati continues to develop adagrasib with the goal of having a meaningful impact on patients with lung cancer," said Charles Baum, M.D., Ph.D., president, founder and head of research and development, Mirati Therapeutics, Inc. "Our data at this year's ASCO congress includes important insights into adagrasib's clinical profile in patients with NSCLC who harbor a KRASG12C mutation, including those with active and untreated CNS metastases, which is a serious and potentially fatal complication for these patients. We believe adagrasib has the potential to transform the lives of those with KRAS-mutated cancers including lung, colorectal, pancreatic and other tumors that carry the KRASG12C mutation."
The adagrasib New Drug Application (NDA) is currently being reviewed by the U.S. Food and Drug Administration (FDA) for Accelerated Approval (Subpart H) as a treatment for patients with NSCLC harboring the KRASG12C mutation who have received at least one prior systemic therapy. The application is being reviewed under the FDA Real Time Oncology Review (RTOR) pilot program, which aims to explore a more efficient review process that ensures safe and effective treatments are made available to patients as early as possible. Adagrasib has also achieved Breakthrough Therapy Designation in the U.S. as a potential treatment for patients with NSCLC harboring the KRASG12C mutation who have received at least one prior systemic therapy.
Mirati presentations at the 2022 ASCO Annual Meeting include:
Presentation Title: KRYSTAL-1: Activity and Safety of Adagrasib (MRTX849) in Patients with Advanced/Metastatic Non-Small Cell Lung Cancer (NSCLC) Harboring a KRASG12C Mutation
Author: Alexander I. Spira
Abstract Number: 9002
Session: Lung Cancer—Non-Small Cell Metastatic
Presentation Date/Time: Friday, June 3, 2022 at 2:24 to 2:36 PM ET/1:24 to 1:36 PM CT
Presentation Title: Activity of Adagrasib (MRTX849) in Patients with KRASG12C-Mutated NSCLC and Active, Untreated CNS Metastases in the KRYSTAL-1 Trial
Author: Joshua K Sabari
Abstract Number: LBA9009
Session: Clinical Science Symposium/Including the Excluded: Advancing Care for All Patients With Lung Cancer
Presentation Date/Time: June 6, 2022 at 5:30 to 5:42 PM ET/4:30 to 4:42 PM CT
Mirati will also host an exhibit at the 2022 ASCO Annual Meeting at booth number 2097.
Virtual Investor Event
Mirati Therapeutics will host an Investor Event on Monday, June 6, 2022 at 8:00 PM ET / 7:00 PM CT.
Investors and the general public are invited to register and listen to a live webcast of the event through the "Investors and Media" section on Mirati.com. A replay of the event will be available shortly after the conclusion of the event.
About Adagrasib (MRTX849)
Adagrasib is an investigational, highly selective, and potent oral small-molecule inhibitor of KRASG12C that is optimized to sustain target inhibition, an attribute that could be important to treat KRASG12C-mutated cancers, as the KRASG12C protein regenerates every 24-48 hours. Adagrasib is a being evaluated as monotherapy and in combination with other anti-cancer therapies in patients with advanced KRASG12C-mutated solid tumors, including non-small cell lung cancer (NSCLC), colorectal cancer and pancreatic cancer. For more information visit Mirati.com/science.
Mirati has an Expanded Access Program (EAP) for investigational adagrasib for the treatment of eligible patients with KRASG12C-mutated cancers, regardless of tumor type, in the U.S. Learn more about the EAP at Mirati.com/expanded-access-policy.
About Mirati Therapeutics, Inc.
Mirati Therapeutics, Inc. is a clinical-stage biotechnology company whose mission is to discover, design and deliver breakthrough therapies to transform the lives of patients with cancer and their loved ones. The company is relentlessly focused on bringing forward therapies that address areas of high unmet medical need, including lung cancer, and advancing a pipeline of novel therapeutics targeting the genetic and immunological drivers of cancer. Unified for patients, Mirati's vision is to unlock the science behind the promise of a life beyond cancer. For more information about Mirati, visit us at Mirati.com or follow us on Twitter, LinkedIn and Facebook.
Forward Looking Statements
This press release contains certain forward-looking statements regarding the business of Mirati Therapeutics, Inc. ("Mirati"). Any statement describing Mirati's goals, expectations, financial or other projections, intentions or beliefs, development plans and the commercial potential of Mirati's drug development pipeline, including without limitation adagrasib (MRTX849), sitravatinib, MRTX1133, MRTX1719 and MRTX0902 is a forward-looking statement and should be considered an at-risk statement. Such statements are subject to risks and uncertainties, particularly those challenges inherent in the process of discovering, developing and commercialization of new drug products that are safe and effective for use as human therapeutics, and in the endeavor of building a business around such drugs.
Mirati's forward-looking statements also involve assumptions that, if they never materialize or prove correct, could cause its results to differ materially from those expressed or implied by such forward-looking statements. Although Mirati's forward-looking statements reflect the good faith judgment of its management, these statements are based only on facts and factors currently known by Mirati. As a result, you are cautioned not to rely on these forward-looking statements. These and other risks concerning Mirati's programs are described in additional detail in Mirati's quarterly reports on Form 10-Q and annual reports on Form 10-K, which are on file with the U.S. Securities and Exchange Commission (the "SEC") available at the SEC's Internet site (www.sec.gov). Mirati assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those projected in the forward-looking statements, except as required by law.
Mirati Contacts:
Investor Relations: ir@mirati.com
Media Relations: media@mirati.com
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CHICAGO, April 27, 2022 /PRNewswire/ -- Morningstar, Inc. (Nasdaq: MORN), a leading provider of independent investment research, posted strong first-quarter revenue growth, highlighting continued momentum across the business.
"We're guiding investors through a time of heightened volatility, and pleased that our organic growth remains strong," said Kunal Kapoor, Morningstar's chief executive officer. "We're also increasing investments in compensation and benefits for our teams globally while supporting continued funding of strategic growth initiatives."
First-Quarter 2022 Financial Highlights
- Revenue increased 16.3% to $457.0 million; organic revenue grew 18.1%.
- Operating income decreased 16.1% to $56.4 million; adjusted operating income declined 10.6%. First-quarter results included an increase in stock-based compensation expense related to higher scheduled incentives and overachievement of targets under the PitchBook management bonus plan, which contributed 8.2 and 5.9 percentage points to the operating income and adjusted operating income declines, respectively.
- Diluted net income per share decreased 16.5% to $1.06 versus $1.27 in the prior-year period. Adjusted diluted net income per share decreased 18.5% to $1.41.
- Cash provided by operating activities was $23.5 million in the quarter, a decrease of 63.4%. Free cash flow was negative $4.5 million compared to positive $41.5 million in the prior year. Cash flow was impacted by higher bonus payouts in the first quarter of 2022 related to 2021 annual performance.
- Share repurchases totaled $110.6 million during the quarter.
Overview of Financial Results
First-Quarter 2022 Results
Revenue for the period increased 16.3% to $457.0 million. Organic revenue, which excludes all M&A-related revenue, accounting changes, and foreign currency effects, grew 18.1% compared with the prior-year period, reflecting broad-based revenue growth across products and geographies.
License-based revenue grew 17.2% year over year, or 18.8% on an organic basis. PitchBook, Morningstar Sustainalytics, Morningstar Data, and Morningstar Direct all provided meaningful contributions to organic revenue growth in the quarter. Asset-based revenue increased 11.6% year over year, or 14.9% organically. Morningstar Indexes was the largest contributor to organic revenue growth driven by assets under management (AUM), along with positive performance in both Investment Management and Workplace Solutions. As experienced in similar historical periods of market volatility, the structure of certain contracts and the timing of client asset reporting can result in a one-quarter lag between market movements and the impact on earned revenue in these areas. Transaction-based revenue increased 17.3% year over year, or 18.3% on an organic basis, as robust issuance activity in U.S. structured finance asset classes drove revenue growth for DBRS Morningstar.
Operating expense increased 23.0% to $400.6 million in the first quarter. The largest contributors to operating expense growth were compensation, professional fees, commissions, and stock-based compensation.
- Compensation costs increased $41.6 million in the quarter. This reflects growth in headcount across key areas of the Company including product and software development, data collection and analysis, sales, and service support, in addition to more substantial annual merit increases to employees effective Jan. 1, 2022. The growth in headcount was highest in Morningstar Sustainalytics, PitchBook, DBRS Morningstar, and the Wealth Management product areas to support strategic growth initiatives. Higher benefit costs, including 401(k) plan contributions and healthcare costs, in addition to non-cash increases in vacation accruals and sabbatical expense, contributed to the variance.
- Professional fees increased $10.4 million primarily due to higher legal fees, the use of third-party resources for software and product development, and M&A-related expenses.
- Commission costs increased $6.5 million in the quarter due to strong sales performance and higher amortization of capitalized commissions related to prior-year sales performance.
- Stock-based compensation increased $5.7 million, primarily due to the PitchBook management bonus plan.
First-quarter operating income was $56.4 million, a decrease of 16.1% compared with the prior-year period. Adjusted operating income, which excludes intangible amortization expense and all M&A-related expenses and earn-outs, was $82.5 million in the first quarter of 2022, a decrease of 10.6% compared with the prior-year period. First-quarter operating margin was 12.3%, compared with 17.1% in the prior-year period. Adjusted operating margin was 18.1% in the first quarter of 2022, versus 23.6% in the prior-year period. The year-over-year decline in margin resulted from the increased investment in headcount, compensation and benefits, and continued funding of strategic growth initiatives.
Net income in the first quarter of 2022 was $46.1 million, or $1.06 per diluted share, compared with $54.9 million, or $1.27 per diluted share, in the first quarter of 2021, a decrease of 16.5% on a per share basis. Adjusted diluted net income per share decreased 18.5% to $1.41 in the first quarter of 2022, compared with $1.73 in the prior-year period, excluding non-operating gains, intangible amortization expense, and all other M&A-related expenses.
The effective tax rate was 27.3% versus 20.4% in the prior-year period. The increase in tax rate was primarily attributable to additional reserves recorded for uncertain tax positions that increased the liability for unrecognized tax benefits in the first quarter.
Product Area Highlights
Morningstar is executing its strategy and investing for long-term growth. On a consolidated basis, PitchBook, DBRS Morningstar, Morningstar Sustainalytics, Morningstar Data, and Morningstar Direct were the top five contributors of organic revenue growth in the first quarter of 2022. (For performance of the largest product areas and key metrics, refer to the Supplemental Data table contained in this release.)
Highlights of these and other products include:
License-based
- PitchBook grew revenue by 49.4% and licenses by 41.1% in the first quarter, a strong start to 2022. Several product releases over the past year helped contribute to revenue performance, including further investment in public equity data, the integration of ESG Risk Ratings from Morningstar Sustainalytics, and enhancements to PitchBook's proprietary Investor Style Summary analysis tool. PitchBook's continued focus on execution within core data operations and go-to-market activities from marketing and sales delivered strong growth in revenue and bookings.
- Morningstar Data grew revenue by 7.7%, or 9.7% on an organic basis, in the first quarter with positive contributions across geographies. In the quarter, revenue growth was driven by both fund data and equity data and increased demand from the ongoing change in regulatory landscape, creating new requirements and demand for solutions to support client needs.
- Morningstar Direct grew first-quarter revenue by 8.3%, or 10.2% organically, on strong demand in both the U.S. and Europe. Direct licenses increased by 6.3% in the quarter and benefited from new users and client renewals due to the continued investment in functionality, new data sets, and access to research that enables users to extract more value from the platform.
- Morningstar Sustainalytics revenue grew 42.0%, or 47.7% on an organic basis, in the first quarter with continued momentum in all key product lines. Sales of EU Action Plan solutions were robust in the institutional and wealth segments and there was increased demand for ESG data for client reporting purposes. The number of corporate issuers licensing Morningstar Sustainalytics' ratings across all geographies grew throughout the quarter along with further expansion in second-party opinions.
- Advisor Workstation grew revenue 1.8%, or 1.9% on an organic basis, in the first quarter with steady demand across North America for solutions addressing the regulatory need for advisors to demonstrate how investment decisions align with client best interest. Demand for personalized financial planning was strong and new information on third-party model portfolios, sustainability metrics, and structured products supported higher client retention.
Asset-based
- Investment Management revenue increased 4.8%, or 13.1% on an organic basis, in the first quarter led by growth in Morningstar Managed Portfolios in the U.S. For the quarter, assets under management and advisement increased 6.9% versus the prior year, helped by positive net flows. Assets grew to $51.1 billion in the quarter, with Managed Portfolios now representing more than 60% of that total.
- Workplace Solutions grew revenue by 5.6% in the first quarter, driven by the performance in Morningstar Retirement Manager from both new and existing plans. Assets under management and advisement increased 9.2% in the quarter to $213.9 billion, primarily from growth in managed account offerings.
- Morningstar Indexes increased revenue by 59.4%, or 54.1% on an organic basis, in the first quarter. Despite market volatility, index products had strong asset flows into investible products linked to Morningstar Indexes and higher levels of index licensing. Moorgate Benchmarks, a company Morningstar acquired in 2021, has also begun contributing to reported revenue in Europe.
Transaction-based
- DBRS Morningstar grew first-quarter revenue 16.7%, or 17.6% on an organic basis. Growth was led by the U.S. as a result of continued strong issuance volumes and market coverage in the U.S. commercial and residential mortgage-backed securities. This growth was somewhat offset by declines in both Canada and Europe. The decline in Canada was driven by lower corporate and financial institution issuance volume after consecutive years of record issuance, while European market volatility impacted by the geopolitical environment created credit issuance delays within the region.
Balance Sheet and Capital Allocation
As of March 31, 2022, the Company had cash, cash equivalents, and investments totaling $544.9 million and $504.4 million of long-term debt, compared with cash, cash equivalents, and investments of $546.1 million and $359.4 million of long-term debt as of Dec. 31, 2021.
Cash provided by operating activities was $23.5 million for the first quarter of 2022, compared with $64.2 million in the prior-year period. The decline in cash flow was primarily due to the impact of higher bonus payouts in the quarter related to 2021 financial performance.
In the first quarter of 2022, the Company repurchased $110.6 million of its shares, paid $15.5 million in dividends, and spent $7.8 million on acquisitions and other minority investments.
On April 4, 2022, Morningstar announced an agreement to acquire Leveraged Commentary & Data (LCD), a market leader in news, research, data, insights, and indexes for the leveraged finance market from S&P Global. The purchase price is up to $650.0 million in cash, comprised of $600.0 million at closing, subject to certain adjustments, and a contingent payment of up to $50.0 million six months after closing. In conjunction with the announcement, the Company entered into a financing commitment for up to $1.1 billion to support the transaction. The financing is comprised of a five-year term facility and revolving credit facility, which will replace the Company's existing credit facility, and will be used to finance a portion of the purchase price and for other general corporate purposes.
Comparability of Year-Over-Year Results
In addition to intangible amortization expense and M&A-related expenses, certain other items, as detailed below, affected the comparability of first quarter of 2022 results versus the same period in 2021.
First-Quarter 2022 Results
- Diluted and adjusted net income per share in the current period included $0.13 of non-operating gains.
- First-quarter 2022 results include a $5.7 million year-over-year increase in stock-based compensation, primarily due to higher scheduled incentives and overachievement of targets under the PitchBook management bonus plan. This reduced diluted net income per share by $0.13.
Use of Non-GAAP Financial Measures
The tables at the end of this press release include a reconciliation of the non-GAAP financial measures used by the Company to comparable GAAP measures and an explanation of why the Company uses them.
2022 Shareholders' Meeting
Shareholders, prospective shareholders, analysts, and other interested parties are cordially invited to attend our 2022 Annual Shareholders' Meeting at 9 a.m. Central Time on Friday, May 13, 2022, at Morningstar's corporate headquarters at 22 W. Washington St. in Chicago. If you would like to attend, either in person or virtually, please register here. The meeting will cover the official business described in Morningstar's proxy statement and include presentations from Morningstar's management team, along with a live question and answer period open to participants both on site and online.
Investor Communication
Morningstar encourages all interested parties —including securities analysts, current shareholders, potential shareholders, and others— to submit questions in writing. Investors and others may send questions about Morningstar's business to investors@morningstar.com. Morningstar will make written responses to selected inquiries available to all investors at the same time in Form 8-Ks furnished to the Securities and Exchange Commission, generally every month.
About Morningstar, Inc.
Morningstar, Inc. is a leading provider of independent investment research in North America, Europe, Australia, and Asia. The Company offers an extensive line of products and services for individual investors, financial advisors, asset managers and owners, retirement plan providers and sponsors, and institutional investors in the debt and private capital markets. Morningstar provides data and research insights on a wide range of investment offerings, including managed investment products, publicly listed companies, private capital markets, debt securities, and real-time global market data. Morningstar also offers investment management services through its investment advisory subsidiaries, with approximately $265.0 billion in assets under advisement and management as of March 31, 2022. The Company has operations in 29 countries. For more information, visit www.morningstar.com/company. Follow Morningstar on Twitter @MorningstarInc.
Caution Concerning Forward-Looking Statements
This press release contains forward-looking statements as that term is used in the Private Securities Litigation Reform Act of 1995. These statements are based on our current expectations about future events or future financial performance. Forward-looking statements by their nature address matters that are, to different degrees, uncertain, and often contain words such as "may," "could," "expect," "intend," "plan," "seek," "anticipate," "believe," "estimate," "predict," "potential," or "continue." These statements involve known and unknown risks and uncertainties that may cause the events we discuss not to occur or to differ significantly from what we expect. For us, these risks and uncertainties include, among others, failing to maintain and protect our brand, independence, and reputation; liability related to cybersecurity and the protection of confidential information, including personal information about individuals; liability for any losses that result from an actual or claimed breach of our fiduciary duties or failure to comply with applicable securities laws; compliance failures, regulatory action, or changes in laws applicable to our credit ratings operations, or our investment advisory, ESG, and index businesses; failing to respond to technological change, keep pace with new technology developments, or adopt a successful technology strategy; the failure to recruit, develop, and retain qualified employees; inadequacy of our operational risk management and business continuity programs in the event of a material disruptive event, including an outage of our database, technology-based products and services or network facilities; failing to differentiate our products and services and continuously create innovative, proprietary, and insightful financial technology solutions; prolonged volatility or downturns affecting the financial sector, global financial markets, and global economy and its effect on our revenue from asset-based fees and credit ratings business; failing to maintain growth across our businesses in today's fragmented geopolitical, regulatory and cultural world; liability relating to the information and data we collect, store, use, create, and distribute or the reports that we publish or are produced by our software products; the failure of acquisitions and other investments to be efficiently integrated and produce the results we anticipate; the impact of the current COVID-19 pandemic and government actions in response thereto on our business, financial condition, and results of operations; challenges faced by our non-U.S. operations, including the concentration of data and development work at our offshore facilities in China and India; our indebtedness could adversely affect our cash flows and financial flexibility; and the failure to protect our intellectual property rights or claims of intellectual property infringement against us. A more complete description of these risks and uncertainties can be found in our filings with the Securities and Exchange Commission, including our most recent Annual Report on Form 10-K. If any of these risks and uncertainties materialize, our actual future results and other future events may vary significantly from what we expect. We do not undertake to update our forward-looking statements as a result of new information or future events.
Media Relations Contact:
Stephanie Lerdall, +1 312-244-7805, stephanie.lerdall@morningstar.com
©2022 Morningstar, Inc. All Rights Reserved.
MORN-E
Morningstar, Inc. and Subsidiaries
Reconciliations of Non-GAAP Measures with the Nearest Comparable GAAP Measures (Unaudited)
To supplement Morningstar's condensed consolidated financial statements presented in accordance with U.S. Generally Accepted Accounting Principles (GAAP), Morningstar uses the following measures considered as non-GAAP by the Securities and Exchange Commission, including:
- consolidated revenue, excluding acquisitions, divestitures, adoption of new accounting standards or revision to accounting practices (accounting changes), and the effect of foreign currency translations (organic revenue),
- consolidated operating income, excluding intangible amortization expense and all mergers and acquisitions (M&A)-related expenses (including M&A-related earn-outs) (adjusted operating income),
- consolidated operating margin, excluding intangible amortization expense and all M&A-related expenses (including M&A-related earn-outs) (adjusted operating margin),
- consolidated diluted net income per share, excluding intangible amortization expense, all M&A-related expenses (including M&A-related earn-outs), and non-operating gains/losses (adjusted diluted net income per share), and
- cash provided by or used for operating activities less capital expenditures (free cash flow).
These non-GAAP measures may not be comparable to similarly titled measures reported by other companies.
Morningstar presents organic revenue because the Company believes this non-GAAP measure helps investors better compare period-over-period results. We exclude revenue from acquired businesses from our organic revenue growth calculation for a period of 12 months after we complete the acquisition. For divestitures, we exclude revenue in the prior-year period for which there is no comparable revenue in the current period.
In addition, Morningstar presents free cash flow solely as supplemental disclosure to help investors better understand how much cash is available after making capital expenditures. Morningstar's management team uses free cash flow to evaluate its business. Free cash flow should not be considered an alternative to any measure required to be reported under GAAP (such as cash provided by (used for) operating, investing, and financing activities).
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CAMBRIDGE, Mass., April 27, 2022 /PRNewswire/ -- Myeloid Therapeutics, Inc. ("Myeloid"), a clinical stage mRNA-immunotherapy company developing novel therapies for cancer and autoimmune diseases, today announced that it will participate in one-on-one and small group meetings with investors at the Morgan Stanley Private Company Biotech Corporate Access Day. The conference is being held in a virtual format on Tuesday, May 3rd, 2022.
About Myeloid Therapeutics
Myeloid Therapeutics is a clinical stage mRNA-immunotherapy company developing novel therapies for cancer and autoimmune diseases. Integrating the fields of RNA, immunology and medicine, the Company's proprietary platform provides clinical solutions by matching therapeutic modalities to disease conditions, including use of autologous cell therapies, in vivo cell programming using mRNA, RNA-based gene-editing using RetroT™ and multi-targeted biologics. For more information, visit https://www.myeloidtx.com/.
Investor and Media Contact
Amy Conrad
Juniper Point
Amy@juniper-point.com
858-914-1962
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SOURCE Myeloid Therapeutics | https://www.whsv.com/prnewswire/2022/04/27/myeloid-therapeutics-participate-morgan-stanley-private-company-biotech-corporate-access-day/ | 2022-04-27T20:56:24Z |
HAMILTON, Bermuda, April 27, 2022 /PRNewswire/ -- Nabors Industries Ltd. ("Nabors" or the "Company") (NYSE: NBR) today reported first quarter 2022 operating revenues of $569 million, an increase of approximately 5%, compared to operating revenues of $544 million in the fourth quarter of 2021. The net loss from continuing operations attributable to Nabors shareholders for the quarter was $184 million, or $22.51 per share. This compares to a loss of $114 million, or $14.60 per share in the prior quarter. The first quarter results include a non-cash charge of $72 million, or $8.63 per share, related to mark-to-market treatment of Nabors' warrants. First quarter adjusted EBITDA was $131 million, compared to $132 million in the previous quarter.
Anthony G. Petrello, Nabors Chairman, CEO and President, commented, "Our first quarter financial results demonstrate the value of our technology-focused strategy. Drilling Solutions' quarterly Adjusted EBITDA marked another post-pandemic high, and we saw excellent sequential growth in the U.S. Drilling segment.
"In the Lower 48, our daily drilling adjusted gross margin reflects the strong pricing environment. Our average daily revenue of $23,000 represents an increase of nearly $1,300 versus the prior quarter. Leading-edge daily rates continue to increase sharply and are now at least $5,000 higher than the first quarter's average daily revenue. Adjusted EBITDA from our Drilling Solutions segment grew sequentially, on top of the strong performance in the prior quarter. This segment's contribution to the Company's total adjusted EBITDA exceeded 15%, an all-time high.
"The first quarter marked significant exercises of our innovative equity warrants. We issued the warrants last June, as part of our strategy to de-lever. As a result, the reduction in face value of debt outstanding from these exercises exceeded $130 million.
"Oilfield activity in the Lower 48 market, and land drilling rig counts in particular, increased significantly during the quarter. With support from commodity prices that have risen markedly since the beginning of the year, we remain optimistic that drilling activity in the oil & gas industry will continue to increase over the balance of the year. We are also encouraged by the signals coming from certain of the key international markets, where planning and tendering for additional activity are also accelerating, setting up another potential driver of future growth."
Consolidated and Segment Results
The U.S. Drilling segment reported $74.3 million in adjusted EBITDA for the first quarter of 2022, a 7% increase from the prior quarter. Nabors' average Lower 48 rig count, at 83.4, increased by nearly nine rigs, or 12%. Daily adjusted gross margins in the Lower 48 averaged $7,694, more than 7% higher than the prior quarter. The U.S. Drilling segment's rig count currently stands at 96, with 89 rigs working in the Lower 48.
International Drilling adjusted EBITDA totaled $71.2 million, a $1.9 million decrease from the fourth quarter of 2021. Operations in Russia primarily accounted for this change. The International rig count averaged 72 rigs, a slight increase from the prior quarter. Daily adjusted gross margin averaged $13,134, in line with the prior quarter.
In Drilling Solutions, adjusted EBITDA increased slightly to $20.0 million reflecting increasing activity in the U.S. Revenue grew sequentially by 5%, driven by performance drilling software, managed pressure drilling, and wellbore placement.
In Rig Technologies, adjusted EBITDA declined to a loss of $1.0 million in the first quarter. Results in this segment were impacted by delays of Canrig shipments and issues related to Russia.
Adjusted Free Cash Flow and Capital Discipline
Adjusted free cash flow, defined as net cash provided by operating activities less net cash used by investing activities, as presented in the Company's cash flow statement, was an outflow of $41 million in the first quarter. This result was primarily driven by an increase in working capital. Revenue growth, especially late in the quarter, led to increases in accounts receivable. Inventories also expanded with the expectations for increasing activity in future quarters. In addition, supply chain challenges resulted in increasing lead times and delays in shipments of equipment.
Capital expenditures for the first quarter totaled $84 million, including $33 million for the SANAD newbuilds.
The Company reduced its net debt, defined as total debt less cash, cash equivalents and short-term investments, by $55 million in the first quarter. Net debt at the end of the first quarter was $2,216 million. Exercises of warrants on Nabors common shares contributed to the improvement in net debt. Also, during the first quarter, the Company completed the replacement of its Revolving Credit Facility, which was scheduled to mature in 2023, with a new facility maturing in 2026.
William Restrepo, Nabors CFO, stated, "Activity across our segments and geographies continued to strengthen and is generating improving financial results, a trend we expect to continue during the year. As utilization expanded to approximately 80% for our high-spec U.S. rigs, pricing has already increased significantly and well above the higher labor expenses and general cost inflation. The market's development since our December analyst event gives us greater confidence in the outlook for 2023. Our focus remains on the timely staffing of our expanding fleet as recruiting is still a challenge and on the aggressive management of our working capital to mitigate the impact on our cash flow from our rapidly growing business.
"Once again, we made progress reducing our net debt and expect to continue making further progress over the balance of the year. We also expect to generate adjusted free cash flow well in excess of $100 million for all of 2022. Finally, we have continued to de-risk our company's capital structure with the extension of our credit facility in January and the reduction of our near-term outstanding notes to a manageable $261 million maturing before the end of 2024. Our $350 million credit facility was undrawn at the end of the first quarter, and we now have just under $1 billion in available capacity to issue additional priority guaranteed notes."
Mr. Petrello added, "Last year at our Analyst Meeting, we introduced five strategic initiatives that we believe are key to our success. I am pleased that we made progress on each of these during the first quarter:
- Our Lower 48 business continued its robust upward trend.
- Our International segment performed well in the face of challenges in Russia. In the second quarter, we are looking forward to deployments in Saudi Arabia of the first In-Kingdom newbuild rig, as well as an advanced PACE®-M1200 series rig that incorporates the latest technology Nabors has to offer.
- On top of outstanding performance in the prior quarter, our Drilling Solutions segment continued to grow. Our fully-automated land rig, which we deployed in 2021, has succeeded in demonstrating the potential of our innovative automation. Using this new technology, we are now deploying our first automation module on an existing rig in the Permian Basin. We are confident these advances, which enable both best-in-class performance and a step-change improvement in safety, will see increasing demand across the industry.
- We made progress to de-lever, reducing net debt and total debt.
- We expanded our efforts supporting the Energy Transition, recently completing two additional investments. The first is a geothermal company developing leading-edge drilling technology. The second company provides monitoring of greenhouse gases and other emissions. We also made additional headway on our own internal initiatives in fuel management, energy storage, hydrogen, and carbon capture."
Outlook for the Second Quarter of 2022
Nabors expects the following quarterly metrics:
U.S. Drilling
- An increase in average Lower 48 rig count of 6 to 7 rigs over the first quarter average
- Lower 48 adjusted gross margin per day of approximately $8,500, reflecting a significant increase in average daily revenue from the strengthening of our leading-edge dayrates, somewhat offset by higher labor expenses and inflation
- Offshore slightly above the first quarter levels and higher average dayrates in Alaska
International
- An increase in average rig count of 2 to 3 rigs over the first quarter average
- Adjusted gross margin per day of $12,700 to $13,000, including a full-quarter impact from Russia
Drilling Solutions
- Adjusted EBITDA up by more than 5% over the first quarter level
Rig Technologies
- Adjusted EBITDA of approximately $2 million
Capital Expenditures
- Capital expenditures between $110 million and $120 million
- Capital expenditures for the full year 2022 of approximately $380 million
Mr. Petrello concluded, "Industry fundamentals in the Lower 48, and rig counts in particular, have improved dramatically over the last several quarters. Increasing utilization is driving improvement in our financial metrics and we are now on the path toward significant pricing power. With the backdrop of the constructive commodity price outlook, we expect Nabors' Lower 48 rig utilization and financial performance to accelerate materially over the balance of 2022. These prospects are augmented by growing adoption of our technology portfolio, which enables operators to improve their production profiles and limit their per-barrel costs. Given the positive signals coming from our international markets, we are poised for growth across the Company. That should enable us to make further progress improving our financial position."
About Nabors Industries
Nabors Industries (NYSE: NBR) is a leading provider of advanced technology for the energy industry. With operations in more than 15 countries, Nabors has established a global network of people, technology and equipment to deploy solutions that deliver safe, efficient and responsible energy production. By leveraging its core competencies, particularly in drilling, engineering, automation, data science and manufacturing, Nabors aims to innovate the future of energy and enable the transition to a lower-carbon world. Learn more about Nabors and its energy technology leadership: www.nabors.com.
Forward-looking Statements
The information included in this press release includes forward-looking statements within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934. Such forward-looking statements are subject to a number of risks and uncertainties, as disclosed by Nabors from time to time in its filings with the Securities and Exchange Commission. As a result of these factors, Nabors' actual results may differ materially from those indicated or implied by such forward-looking statements. The forward-looking statements contained in this press release reflect management's estimates and beliefs as of the date of this press release. Nabors does not undertake to update these forward-looking statements.
Non-GAAP Disclaimer
This press release presents certain "non-GAAP" financial measures. The components of these non-GAAP measures are computed by using amounts that are determined in accordance with accounting principles generally accepted in the United States of America ("GAAP"). Adjusted operating income (loss) represents income (loss) from continuing operations before income taxes, interest expense, earnings (losses) from unconsolidated affiliates, investment income (loss), (gain)/loss on debt buybacks and exchanges, impairments and other charges and other, net. Adjusted EBITDA is computed similarly, but also excludes depreciation and amortization expenses. In addition, adjusted EBITDA and adjusted operating income (loss) exclude certain cash expenses that the Company is obligated to make. Net debt is calculated as total debt minus the sum of cash, cash equivalents and short-term investments. Adjusted free cash flow represents net cash provided by operating activities less cash used for investing activities. Adjusted free cash flow is an important liquidity measure for the company and it is useful to investors and management as a measure of our ability to generate cash flow, after reinvesting in the company for future growth, that could be available for paying down debt or other financing cash flows, such as dividends to shareholders. Management believes that this non-GAAP measure is useful information to investors when comparing our cash flows with the cash flows of other companies. Each of these non-GAAP measures has limitations and therefore should not be used in isolation or as a substitute for the amounts reported in accordance with GAAP. However, management evaluates the performance of its operating segments and the consolidated Company based on several criteria, including Adjusted EBITDA, adjusted operating income (loss), net debt, and adjusted free cash flow, because it believes that these financial measures accurately reflect the Company's ongoing profitability and performance. Securities analysts and investors also use these measures as some of the metrics on which they analyze the Company's performance. Other companies in this industry may compute these measures differently. Reconciliations of consolidated adjusted EBITDA and adjusted operating income (loss) to income (loss) from continuing operations before income taxes, net debt to total debt, and adjusted free cash flow to cash flow provided by operations, which are their nearest comparable GAAP financial measures, are included in the tables at the end of this press release.
Investor Contacts: William C. Conroy, CFA, Vice President of Corporate Development & Investor Relations, +1 281-775-2423 or via e-mail william.conroy@nabors.com, or Kara Peak, Director of Corporate Development & Investor Relations, +1 281-775-4954 or via email kara.peak@nabors.com. To request investor materials, contact Nabors' corporate headquarters in Hamilton, Bermuda at +441-292-1510 or via e-mail mark.andrews@nabors.com
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SOURCE Nabors Industries Ltd. | https://www.whsv.com/prnewswire/2022/04/27/nabors-announces-first-quarter-2022-results/ | 2022-04-27T20:56:31Z |
In honor of National Animal Advocacy Day (April 30), actors Eric McCormack and Edie Falco join the ASPCA to support Goldie's Act, federal legislation that will protect dogs in puppy mills
WASHINGTON, April 27, 2022 /PRNewswire/ -- Today, the ASPCA® (The American Society for the Prevention of Cruelty to Animals®) released new data from a national poll conducted by Lake Research Partners that revealed 77 percent of Americans support federal legislation that would end puppy mills. Additionally, 71 percent of Americans support federal legislation that would require the U.S. Department of Agriculture (USDA) to increase enforcement of the federal Animal Welfare Act (AWA) with support extending across political party, age, gender and regardless of whether the respondent lived in a rural or urban setting. The new data were released in advance of National Animal Advocacy Day, celebrated annually on April 30 to encourage all animal advocates to get involved in the legislative process and make a real difference for the animals in their community.
Last year, the ASPCA assisted the Animal Rescue League of Iowa (ARL) with the rescue of more than 500 dogs who were living in horrific conditions at a USDA-licensed dog breeding facility in Iowa. Despite observing over 200 violations of the AWA at this facility – including dogs who were sick and dying from injuries and disease, dogs housed in cages that were too small to turnaround, and dogs standing in waste – the USDA continued to permit the licensee to operate, never confiscating any dogs who were suffering and never issuing any penalties against the breeder.
This case is part of an ongoing pattern of the USDA failing to enforce the AWA, even when conditions are extremely poor, and dogs are dying. In response to this disturbing case, the ASPCA worked with a bipartisan group of federal lawmakers including U.S. Reps. Cindy Axne (D-Iowa), Brian Fitzpatrick (R-Pa.), Mike Quigley (D-Ill.), Nicole Malliotakis (R-N.Y.), Susan Wild (D-Pa.) and Vern Buchanan (R-Fla.), to introduce Goldie's Act (H.R. 6100), named in honor of a Golden Retriever who suffered extreme neglect and died before she could be rescued from this USDA-licensed facility in Iowa. USDA inspectors did not intervene but instead documented Goldie's deteriorating condition for months and though they had the authority to save her, they did nothing.
"For decades, the USDA has failed to enforce the law intended to protect dogs in puppy mills, and this research confirms that Americans overwhelmingly support stronger enforcement of the Animal Welfare Act to protect dogs and hold puppy mills accountable," said Nancy Perry, senior vice president of ASPCA Government Relations. "Goldie's Act will require the USDA to do its job to protect dogs in federally licensed facilities and we are grateful to have influential advocates like Eric McCormack and Edie Falco using their voices to speak out against puppy mill cruelty. We thank Representatives Axne, Fitzpatrick, Quigley, Malliotakis, Wild, and Buchanan for introducing this lifesaving bill and we urge Congress to pass Goldie's Act to ensure dogs receive the protection they deserve."
Goldie's Act would require the USDA to conduct more frequent and meaningful inspections, confiscate dogs who are suffering, and impose deterring monetary penalties against licensees who violate the law. It will also require the USDA to share information about suspected cruelty and neglect with law enforcement agencies.
In honor of National Animal Advocacy Day (April 30), the ASPCA is hosting a week of action from April 25-30 to urge the public to contact their members of Congress and ask them to pass Goldie's Act. To raise awareness about the bill, the ASPCA released a new video and has enlisted the support of award-winning actors Eric McCormack and Edie Falco to encourage the public to get involved. Last week, McCormack and his rescue dog, Wallace, participated in an Instagram Live discussion hosted by the ASPCA, and Falco, whose dog Sami was rescued from a puppy mill, is lending her voice in a recorded message and sending an email message to animal advocates.
"As an animal lover, it's unconscionable to me that the USDA's failed policies have allowed horrific cruelty to proliferate at federally licensed puppy mills for decades," said McCormack. "The shocking inhumanity at the USDA-licensed facility in Iowa that led to the death of Goldie cannot be tolerated, and I encourage everyone to speak out against this abhorrence to hold puppy mills accountable."
"My dog Sami spent two years living in a box, in the dark, without a name. She was forced to have puppies who were sold to pet stores, and that was her life," said Falco. "I'm grateful that my dog Sami was rescued, but thousands of other dogs like Goldie aren't as lucky and these dogs will continue to suffer in puppy mills across the country if the USDA doesn't do its job. Goldie's story is tragic, but we can prevent other dogs from meeting her fate by urging Congress to pass Goldie's Act."
For more information about the ASPCA's efforts to protect dogs in commercial breeding facilities or to support Goldie's Act, please visit www.aspca.org/goldiesactweek.
About the ASPCA®
Founded in 1866, the ASPCA® (The American Society for the Prevention of Cruelty to Animals®) was the first animal welfare organization to be established in North America and today serves as the nation's leading voice for vulnerable and victimized animals. As a 501(c)(3) not-for-profit corporation with more than two million supporters nationwide, the ASPCA is committed to preventing cruelty to dogs, cats, equines, and farm animals throughout the United States. The ASPCA assists animals in need through on-the-ground disaster and cruelty interventions, behavioral rehabilitation, animal placement, legal and legislative advocacy, and the advancement of the sheltering and veterinary community through research, training, and resources. For more information, visit www.ASPCA.org, and follow the ASPCA on Facebook, Twitter, and Instagram.
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SOURCE ASPCA | https://www.whsv.com/prnewswire/2022/04/27/new-aspca-research-shows-large-bipartisan-majority-americans-support-federal-legislation-end-puppy-mills/ | 2022-04-27T20:56:38Z |
JUNO BEACH, Fla., April 27, 2022 /PRNewswire/ -- NextEra Energy Transmission, LLC, a subsidiary of NextEra Energy, Inc. (NYSE: NEE), today announced that it has been awarded the Minco-Pleasant Valley-Draper transmission line project by the Southwest Power Pool (SPP).
The SPP Board of Directors approved an industry expert panel (IEP) recommendation for NextEra Energy Transmission Southwest to build the Minco-Pleasant Valley-Draper transmission line project. The IEP evaluated this project through its competitive transmission owner selection process, which is required under the Federal Energy Regulatory Commission's Order No. 1000 for certain transmission projects.
"We are pleased to have been awarded the Minco-Pleasant Valley-Draper project by SPP," said Matt Valle, president of NextEra Energy Transmission. "This project award, our second in SPP, furthers our goal of creating America's leading competitive transmission company and is consistent with our strategy of adding high-quality regulated assets to our portfolio."
NextEra Energy Transmission will construct a new, approximate 48-mile, 345-kilovolt (kV) transmission line that will connect the Minco and Draper substations in Oklahoma to address economic needs in the region.
The project is expected to be online in 2024.
NextEra Energy Transmission
NextEra Energy Transmission develops, finances, constructs, and maintains transmission assets across the continent. NextEra Energy Transmission operates through its regional subsidiaries to integrate renewable energy and strengthen the electric grid. The company's subsidiaries were among the first non-incumbents to be awarded projects by system operators and utility commissions in California, New York, Texas, and Ontario. NextEra Energy Transmission's portfolio includes operating assets in 10 states, six regional transmission organizations and one Canadian province, with numerous projects under development and construction. To learn more, visit www.NextEraEnergyTransmission.com.
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SOURCE NextEra Energy Transmission, LLC | https://www.whsv.com/prnewswire/2022/04/27/nextera-energy-transmission-awarded-minco-pleasant-valley-draper-transmission-line-project-by-spp/ | 2022-04-27T20:56:44Z |
HOUSTON, April 27, 2022 /PRNewswire/ -- NexTier Oilfield Solutions Inc. (NYSE: NEX) ("NexTier" or the "Company") today reported first quarter 2022 financial and operational results.
First Quarter 2022 Results and Recent Highlights
- Total revenue of $635.0 million, a 25% sequential increase. Fourth consecutive quarter of 25%+ revenue growth
- Net income of $8.8 million ($0.04 per diluted share)
- Adjusted EBITDA(1) of $83.5 million
- Cash from operations of $28.7 million and positive free cash flow(1) of $1.7 million
- Averaged 33 deployed fleets in the first quarter of 2022, exited with 34 deployed fleets
- Exited first quarter of 2022 with total liquidity of $348.9 million, including $99.8 million of cash and undrawn ABL; no term loan maturities until 2025
Management Commentary
"I am pleased with NexTier's first quarter results and the way momentum accelerated as the quarter progressed. Our performance demonstrates the benefits of our low cost, low emissions strategy," said Robert Drummond, President and Chief Executive Officer of NexTier. "Demand for our services remains very strong and available frac capacity is almost fully utilized, which should allow us to deliver profitable growth, accelerating free cash flow, and strong returns."
"We continue to demonstrate that our talented team can execute on clearly defined strategic priorities utilizing a leading integrated platform to produce strong efficiency gains, optimizing NexTier's value proposition for customers and stockholders," Mr. Drummond continued. "We believe the premium placed on efficiency and service quality will further differentiate NexTier during times of high commodity prices and tight supply."
"We once again achieved market beating top line growth, increasing revenue 25%, and our accelerating March exit rate suggests significant upside for the second quarter," said Kenny Pucheu, Executive Vice President and Chief Financial Officer of NexTier. "Further, we continued to demonstrate our leadership in the cycle by achieving positive free cash flow in the first quarter, which was ahead of our plan, along with our second consecutive quarter of positive net income, forging a path toward generating returns above our cost of capital later this year, a critical step for our business."
First Quarter 2022 Financial Results
Revenue totaled $635.0 million in the first quarter of 2022, compared to $509.7 million in the fourth quarter of 2021. The sequential improvement in revenue was primarily driven by improved pricing, strong operational performance, continued integration efforts, and additional planned capacity added.
Net income totaled $8.8 million, or $0.04 per diluted share, in the first quarter of 2022, compared to net income of $10.9 million, or $0.04 per diluted share, in the fourth quarter of 2021.
Selling, general and administrative expense ("SG&A") totaled $35.9 million in the first quarter of 2022, compared to SG&A of $35.1 million in the fourth quarter of 2021. Adjusted SG&A(1) totaled $27.5 million in the first quarter of 2022, which remained unchanged compared to adjusted SG&A in the fourth quarter of 2021.
Adjusted EBITDA totaled $83.5 million in the first quarter of 2022, compared to adjusted EBITDA of $80.2 million in the fourth quarter of 2021. The first quarter of 2022 reported adjusted EBITDA includes a $0.8 million gain on the sale of assets, compared to a $21.2 million gain on the sale of assets in the fourth quarter of 2021.
The Company exited the first quarter with momentum, easily reaching the goal for a first quarter exit of double-digit annualized adjusted EBITDA per deployed fleet.(1)
First Quarter 2022 Management Adjustments
EBITDA(1) for the first quarter of 2022 was $71.5 million. When excluding net management adjustments of $12.0 million, adjusted EBITDA for the first quarter was $83.5 million. Management adjustments included $7.8 million in stock compensation expense and a net $4.2 million in other adjustments.
Completion Services
Revenue in our Completion Services segment totaled $602.6 million in the first quarter of 2022, compared to $481.0 million in the fourth quarter of 2021. Adjusted gross profit(1) totaled $106.3 million in the first quarter of 2022, compared to $83.9 million in the fourth quarter of 2021.
During the first quarter of 2022, the Company operated an average of 33 deployed fleets, an increase from 30 in the fourth quarter of 2021. The additional fleet count was the result of a reconfiguration of already deployed horsepower between Simulfrac and zipper frac fleets and the planned addition of a Tier IV dual fuel fleet late in the quarter. Annualized adjusted EBITDA per deployed fleet was $10.1 million in the first quarter of 2022.
Well Construction and Intervention Services
Revenue in our Well Construction and Intervention ("WC&I") Services segment, totaled $32.4 million in the first quarter of 2022, compared to $28.7 million in the fourth quarter of 2021. The sequential improvement was primarily driven by increased customer activity. Adjusted gross profit totaled $4.1 million in the first quarter of 2022, compared to adjusted gross profit of $2.7 million in the fourth quarter of 2021.
Balance Sheet and Capital
Total debt outstanding as of March 31, 2022 was $371.6 million, net of debt discounts and deferred finance costs and excluding finance lease obligations. As of March 31, 2022, total available liquidity was $348.9 million, comprised of cash of $99.8 million, and $249.1 million of available borrowing capacity under our asset-based credit facility, which remains undrawn.
Total cash provided by operating activities during the first quarter of 2022 was $28.7 million and cash used by investing activities was $27.0 million, resulting in a positive free cash flow of $1.7 million in the first quarter of 2022.
Outlook
Industry momentum continued into the second quarter of 2022, driven by strong customer demand for our services and a tight supply of equipment. We expect to see considerably improved results in the second quarter of 2022, relative to the first quarter of 2022, based on our March performance and given negotiated customer agreements and increased activity as seasonal and transitory headwinds subside.
For the second quarter of 2022, NexTier expects to operate an average of 34 deployed frac fleets. We do not expect to add any additional capacity to the market for the remainder of 2022.
Based on the above deployed fleets, for the second quarter of 2022 we anticipate sequential revenue growth in excess of 20% and significant adjusted EBITDA margin expansion, resulting in expected adjusted EBITDA of at least $130 million. We anticipate annualized adjusted EBITDA per deployed fleet of at least $15 million in second quarter of 2022.
For the full year 2022, we anticipate our adjusted EBITDA will exceed the high-end of our previously guided range of $330-360 million.
Our first half 2022 capital expenditure budget remains $90-100 million before stepping down to a lower level in the second half. We will continue to invest in our existing deployed capacity to ensure we are operating a well-maintained fleet for 2022 and beyond.
We expect to generate free cash flow in excess of $150 million in 2022, and we expect free cash flow generation to accelerate through the year.
Mr. Drummond concluded, "While the activity outlook for our services was already very strong, the unfortunate geopolitical tensions have increased the call on US oil and natural gas production growth, and NexTier's position as a critical service provider for domestic producers indicates demand for our services has increased further and should remain strong for the foreseeable future. Momentum is building into our seasonally strong period, and we see upside to profitability in future periods even beyond what we expect to achieve in the second quarter."
Conference Call Information
On April 28, 2022, NexTier will hold a conference call for investors at 9:00 a.m. Central Time (10:00 a.m. Eastern Time) to discuss first quarter 2022 financial and operating results. Hosting the call will be Robert Drummond, President and Chief Executive Officer and Kenneth Pucheu, Executive Vice President and Chief Financial Officer. The call can be accessed via a live webcast accessible on the IR Event Calendar page in the Investor Relations section of our website at www.nextierofs.com, or live over the telephone by dialing (855) 560-2574, or for international callers, (412) 542-4160 and referencing NexTier Oilfield Solutions. A replay will be available shortly after the call and can be accessed by dialing (877) 344-7529, or for international callers, (412) 317-0088. The passcode for the replay is 4424257. The replay will be available until May 5, 2022. An archive of the webcast will be available shortly after the call on our website at www.nextierofs.com for twelve months following the call.
About NexTier Oilfield Solutions
Headquartered in Houston, Texas, NexTier is an industry-leading U.S. land oilfield service company, with a diverse set of well completion and production services across active and demanding basins. Our integrated solutions approach delivers efficiency today, and our ongoing commitment to innovation helps our customers better address what is coming next. NexTier is differentiated through four points of distinction, including safety performance, efficiency, partnership and innovation. At NexTier, we believe in living our core values from the basin to the boardroom, and helping customers win by safely unlocking affordable, reliable and plentiful sources of energy.
(1) Non-GAAP Financial Measures. The Company has included in this press release or discussed on the conference call described above certain non-GAAP financial measures, some of which are calculated on segment basis or product line basis. These measurements provide supplemental information which management believes is useful to analysts and investors to evaluate our ongoing results of operations, when considered alongside GAAP measures such as net income and operating income. You should not consider them in isolation from, or as a substitute for, analysis of our results under GAAP.
Non-GAAP financial measures include EBITDA, adjusted EBITDA, adjusted EBITDA incremental margin, adjusted gross profit, free cash flow, adjusted SG&A, adjusted EBITDA per deployed fleet, annualized adjusted EBITDA per deployed fleet, and net debt. These non-GAAP financial measures exclude the financial impact of items management does not consider in assessing the Company's ongoing operating performance, and thereby facilitate review of the Company's operating performance on a period-to-period basis. Other companies may have different capital structures, and comparability to the Company's results of operations may be impacted by the effects of acquisition accounting on its depreciation and amortization. As a result of the effects of these factors and factors specific to other companies, the Company believes EBITDA, adjusted EBITDA, adjusted EBITDA incremental margin, adjusted gross profit, adjusted SG&A, adjusted EBITDA per deployed fleet (including on an annualized basis) provide helpful information to analysts and investors to facilitate a comparison of its operating performance to that of other companies. The Company believes free cash flow is important to investors in that it provides a useful measure to assess management's effectiveness in the areas of profitability and capital management.
For a reconciliation of these non-GAAP measures, please see the tables at the end of this press release. Reconciliations of forward-looking non-GAAP financial measures to comparable GAAP measures are not available due to the challenges and impracticability with estimating some of the items, particularly with estimates for certain contingent liabilities, and estimating non-cash unrealized fair value losses and gains which are subject to market variability and therefore a reconciliation is not available without unreasonable effort.
Non-GAAP Measure Definitions: EBITDA is defined as net income (loss) adjusted to eliminate the impact of interest, income taxes, depreciation and amortization. Adjusted EBITDA is defined as EBITDA as further adjusted with certain items management does not consider in assessing ongoing performance. Management uses adjusted EBITDA to set targets and to assess the performance of the Company. Adjusted EBITDA incremental margin is defined as the change in adjusted EBITDA quarter over quarter divided by the change in revenue quarter over quarter. Adjusted gross profit is defined as revenue less cost of services, further adjusted to eliminate items in cost of services that management does not consider in assessing ongoing performance. Adjusted gross profit at the segment level is not considered to be a non-GAAP financial measure as it is our segment measure of profit or loss and is required to be disclosed under GAAP pursuant to ASC 280. Adjusted SG&A is defined as selling, general and administrative expenses adjusted for severance and business divestiture costs, merger/transaction-related costs, and other non-routine items. Free cash flow is defined as the net increase (decrease) in cash and cash equivalents before financing activities, excluding any acquisitions. Adjusted EBITDA per deployed fleet is defined as (i) adjusted EBITDA, (ii) divided by fleets deployed. Annualized adjusted EBITDA per deployed fleet is defined as (i) adjusted EBITDA for a given quarter, (ii) divided by number of fleets deployed, and then (iii) multiplied by four. Net debt is defined as (i) total debt, net of unamortized debt discount and debt issuance costs, (ii) subtracted by cash and cash equivalents.
Forward-Looking Statements and Where to Find Additional Information
This press release and discussion in the conference call described above contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Where a forward-looking statement expresses or implies an expectation or belief as to future events or results, such expectation or belief is expressed in good faith and believed to have a reasonable basis. The words "believe," "continue," "could," "expect," "anticipate," "intends," "estimate," "forecast," "project," "should," "may," "will," "would," "plan," "target," "predict," "potential," "outlook," and "reflects," or the negative thereof and similar expressions, are intended to identify such forward-looking statements. These forward-looking statements are only predictions and involve known and unknown risks and uncertainties, many of which are beyond the Company's control. Statements in this press release or made during the conference call described above that are forward-looking, including projections as to the Company's 2022 guidance and other outlook information (including with respect to the industry in which the Company conducts its business), are based on management's estimates, assumptions and projections, and are subject to significant uncertainties and other factors, many of which are beyond the Company's control. These factors and risks include, but are not limited to, (i) the competitive nature of the industry in which the Company conducts its business, including pricing pressures; (ii) the ability to meet rapid demand shifts; (iii) the ongoing impact of geopolitical conflicts; (iv) the impact of pipeline capacity constraints and adverse weather conditions in oil or gas producing regions; (v) the ability to obtain or renew customer contracts and changes in customer requirements in the markets the Company serves; (vi) the ability to identify, effect and integrate acquisitions, joint ventures or other transactions; (vii) the ability to protect and enforce intellectual property rights; (viii) the effect of environmental and other governmental regulations on the Company's operations; (ix) the effect of a loss of, or interruption in operations of, the Company of one or more key suppliers, or customers, including resulting from inflation, including as a result of ongoing geopolitical conflicts, COVID-19 resurgence, product defects, recalls or suspensions; (x) the variability of crude oil and natural gas commodity prices; (xi) the market price (including inflation) and timely availability of materials or equipment; (xii) the ability to obtain permits, approvals and authorizations from governmental and third parties; (xiii) the Company's ability to employ a sufficient number of skilled and qualified workers; (xiv) the level of, and obligations associated with, indebtedness; (xv) fluctuations in the market price of the Company's stock; (xvi) the continued impact of the COVID-19 pandemic (including as a result of the emergence of new variants and strains of the virus, such as Delta and Omicron) and the evolving response thereto by governments, private businesses or others to contain the spread of the virus and its variants or to treat its impact, and the possibility of increased inflation, travel restrictions, lodging shortages or other macro-economic challenges as the economy emerges from the COVID-19 pandemic; and (xvii) other risks detailed in our latest Annual Report on Form 10-K, including, but not limited to "Part I, Item 1A. Risk Factors" and "Part II, Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations," and our other filings with the Securities and Exchange Commission ("the SEC"), which are available on the SEC website or www.NexTierOFS.com. The Company assumes no obligation to update any forward-looking statements or information, which speak as of their respective dates, to reflect events or circumstances after the date hereof, or to reflect the occurrence of unanticipated events, except as may be required under applicable securities laws. Investors should not assume that any lack of update to a previously issued "forward-looking statement" constitutes a reaffirmation of that statement.
Additional information about the Company, including information on the Company's response to COVID-19, can be found in its periodic reports and other filings with the SEC, available www.sec.gov or www.NexTierOFS.com.
Investor Contact:
Kenneth Pucheu
Executive Vice President - Chief Financial Officer
Michael Sabella
Vice President - Investor Relations and Business Development
michael.sabella@nextierofs.com
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SOURCE NexTier Oilfield Solutions | https://www.whsv.com/prnewswire/2022/04/27/nextier-announces-first-quarter-2022-financial-operational-results/ | 2022-04-27T20:56:50Z |
Financial planner urges NFT enthusiasts to carefully evaluate tax ramifications
ATLANTA, April 27, 2022 /PRNewswire/ -- Artists and investors alike should know that NFTs can complicate their taxes, says Certified Financial Planner™ Thomas Walsh.
Walsh, a senior client service manager for Palisades Hudson Financial Group LLC, wants to be sure that individuals dealing in nonfungible tokens understand that the Internal Revenue Service is taking an interest in the relatively new phenomenon. This interest could open NFT enthusiasts to scrutiny from the tax authorities. In an article for the firm's newsletter (available online at https://www.palisadeshudson.com/2021/11/the-tax-consequences-of-nfts/), Walsh suggests that – from a tax perspective – NFTs have a lot in common with both cryptocurrencies and traditional collectibles.
"NFTs are new enough that tax authorities have issued little guidance," Walsh says. "Taxpayers who buy or sell NFTs should take care to handle related tax concerns carefully."
The tax treatment of NFTs can grow even more complex for those who hope to earn income from an individual token, not only by selling it for a profit but potentially by "fractionalizing" it. Artists, too, may face complicated tax questions depending on how a particular NFT they created is structured.
Walsh cautions, "The tax considerations for a business enterprise involving NFTs can become highly complex." Such considerations may involve determining whether and how to classify NFTs as business assets or applying rules related to self-created works. He suggests that "It is best to consult a tax professional who can help you to meet your reporting obligations fully and accurately."
Demand for NFTs continues to grow. Buyers and sellers should be aware that the IRS will demand its share of this growing market. In the absence of clear regulatory guidance, taxpayers should take extra care and consider leaning on professional advice to ensure they meet their tax obligations.
Thomas Walsh is based in Palisades Hudson's Atlanta office, and has been with the firm since 2011. In addition to financial planning, asset management and tax preparation, he serves as a member of the firm's Entertainment and Sports team. Walsh contributed to Palisades Hudson's books "The High Achiever's Guide to Wealth" and "Looking Ahead: Life, Family, Wealth and Business After 55" (both available on Amazon). His advice has appeared in publications including U.S. News & World Report, The Pittsburgh Post-Gazette and Investor's Business Daily.
Contact: Amy Laburda, amy@palisadeshudson.com
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SOURCE Palisades Hudson Financial Group LLC | https://www.whsv.com/prnewswire/2022/04/27/nfts-can-create-tax-headaches/ | 2022-04-27T20:56:53Z |
PHOENIX, April 27, 2022 /PRNewswire/ -- Nikola Corporation (Nasdaq: NKLA), a global leader in zero-emissions transportation solutions, marked the beginning of its commercial serial truck production of the Nikola Tre BEV (battery-electric vehicle), with a special ceremony today in Coolidge, Arizona. The event featured remarks from Nikola executives and Arizona Governor Doug Ducey and was attended by fleet customers, government officials, and Phoenix business leaders.
"We began production of the Tre BEV on March 21 here in Coolidge and today we're celebrating this milestone and the initial shipments of trucks to our customers," said Mark Russell, Nikola's Chief Executive Officer. "In 2022, we're moving forward with every aspect of our business. Next year, fuel-cell electric vehicles (FCEV) are planned to be added to the manufacturing mix. We are focused on delivering vehicles and generating revenue."
"Nikola has become a driving force in Arizona's rapidly expanding electric vehicle industry," said Governor Ducey. "Watching this innovative company grow and put down roots in Arizona has been truly incredible, and I know it's only getting started. With the beginning of production at this manufacturing facility, Nikola is clearly in the driver's seat of the future of transportation and commerce. Thank you to the entire Nikola team, Sandra Watson and the Arizona Commerce Authority, our partners at the legislature and local leaders for supporting this phenomenal project."
Phase 1 of the Coolidge, Arizona manufacturing facility provides Nikola with a production capacity of 2,500 trucks. Construction of the Phase 2 assembly expansion area has begun and is expected to be completed in 2023 with a production capacity of up to 20,000-trucks per year on two shifts.
"With our world class universities and community colleges, Arizona has some of the best engineering and manufacturing talent in the country," said Sandra Watson, President and CEO of the Arizona Commerce Authority. "Nikola not only is a top employer in the region, they are attracting top tier suppliers to further grow Arizona's robust electric vehicle supply chain. We are incredibly grateful to the entire Nikola team for choosing Arizona to help meet their vision and we are excited for the company's bright future."
On December 17, 2021, Nikola delivered the first two Nikola Tre BEVs to TTSI.
On January 24, 2022, Nikola began FCEV pilot operations with Anheuser-Busch. Two Nikola Tre FCEV alphas are undergoing a pilot in daily service within the brewer's Southern California distribution network.
Nikola's Ulm, Germany manufacturing facility on IVECO's industrial complex is also complete. The facility is capable of a production capacity of 2,000 trucks per year and is expandable up to 10,000 trucks per year.
About Nikola Corporation
Nikola Corporation is globally transforming the transportation industry. As a designer and manufacturer of zero-emission battery-electric and hydrogen-electric vehicles, electric vehicle drivetrains, vehicle components, energy storage systems, and hydrogen station infrastructure, Nikola is driven to revolutionize the economic and environmental impact of commerce as we know it today. Founded in 2015, Nikola Corporation is headquartered in Phoenix, Arizona. For more information, visit www.nikolamotor.com or Twitter @nikolamotor.
Forward-Looking Statements
This press release contains certain forward-looking statements within the meaning of federal securities laws with respect to Nikola Corporation (the "Company"), including statements relating to the Company's future performance and milestones; expected timing of manufacturing facility buildout and production capacity; timing of completion of testing, production, as well as other milestones; expectations regarding the trucks' uses and impact; expectations regarding the Company's sales and service network; and terms and potential benefits of the planned collaborations with its strategic partners. These forward-looking statements generally are identified by words such as "believe," "project," "expect," "anticipate," "estimate," "intend," "strategy," "future," "opportunity," "plan," "may," "should," "will," "would," and similar expressions. Forward-looking statements are predictions, projections, and other statements about future events based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including but not limited to: design and manufacturing changes and delays, including global shortages in parts and materials; general economic, financial, legal, regulatory, political and business conditions and changes in domestic and foreign markets; the potential effects of COVID-19; the outcome of legal, regulatory and judicial proceedings to which the Company is, or may become a party; demand for and customer acceptance of the Company's trucks; the results of customer pilot testing; the execution and terms of definitive agreements; risks associated with development and testing of fuel-cell power modules and hydrogen storage systems; risks related to the rollout of the Company's business and the timing of expected business milestones; the effects of competition on the Company's future business; the availability of and need for capital; and the factors, risks and uncertainties regarding the Company's business described in the "Risk Factors" section of the Company's annual report on Form 10-K for the year ended December 31, 2021 filed with the SEC, in addition to the Company's subsequent filings with the SEC. These filings identify and address other important risks and uncertainties that could cause the Company's actual events andener results to differ materially from those contained in the forward-looking statements. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and, except as required by law, the Company assumes no obligation and does not intend to update or revise these forward-looking statements, whether as a result of new information, future events, or otherwise.
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Line's Largest Itinerary Launch to Date with More Than 350 Voyages
Voyages Open for Sale May 4, 2022
MIAMI, April 27, 2022 /PRNewswire/ -- Oceania Cruises, the world's leading culinary- and destination-focused cruise line, revealed its 2024 Collection of voyages to Europe, Alaska, Canada, Asia, Australia & New Zealand, Africa, South America, the South Pacific, and the Caribbean. The Collection encompasses more than 350 itineraries including over 130 Grand Voyages across seven ships and all seven continents. The itineraries are available to preview online at www.OceaniaCruises.com and open for reservations on May 4, 2022.
"Next to our reputation for serving The Finest Cuisine at Sea, Oceania Cruises is widely acclaimed for developing the most enticing and destination-rich itineraries in the cruise industry," said Howard Sherman, President and CEO of Oceania Cruises. "With our 2024 Collection, we have set a whole new standard for destination innovation with an astounding mix of marquee destinations and exotic new locales blended together in creatively crafted voyage offerings."
EUROPE
Europe 2024 will be the brand's most expansive and diverse European season to date. With six ships positioned around the continent, the destinations are as diverse as Greenland and Iceland in the north and west to the Holy Lands of Egypt and Israel in the south and east and everywhere in between. Every voyage is a celebration of history, culture, and cuisine in myriad mesmerizing destinations. From the glittering jewels of the Greek Isles, Italian Riviera and France's famed Côte d'Azur to the delightful hidden gems of Norway's fjord-lined coast and the rugged outposts of Greenland and Iceland, these 2024 European itineraries are a study in diversity. Insignia, Nautica, Marina, and Sirena will spend the majority of the season exploring Europe's northern reaches and the western wine countries. Riviera and Vista will call the Mediterranean home with a seemingly endless bounty of voyages to Spain, France, Italy, Croatia, Greece, Turkey, Malta, Israel, Egypt and more.
NORTH AMERICA
Regatta, Insignia, and Nautica will offer close to three dozen enticing explorations of Alaska, New England, Canada, Bermuda, and the United States' colonial south. Regatta will reprise her perennially popular Alaska season with a series of voyages that showcases the region in all its glory. Must-see destinations include Icy Strait Point, Kodiak, Juneau, Skagway, Ketchikan, Sitka, Wrangell, Prince Rupert and Victoria. On the East Coast, Insignia and Nautica will offer sailings to Bermuda, New England, and Canada's maritime provinces from New York City, Boston, and Montreal.
SOUTH AMERICA
From the lush and verdant tropical clime of the Amazon to the rugged, glacially carved coastline of Chile, South America is a vast continent brimming with thrilling explorations and vibrant heritage. Marina will sail the entire continent and will even take a breathtaking diversion down to Paradise Bay, Admiralty Bay, and Half Moon Island in Antarctica.
ASIA & AFRICA
With more than three dozen sailings in the regions, Oceania Cruises showcases these intriguing lands in a fashion that has no peer. Riviera will chart her inaugural season in the region sailing from Arabia to India, to southeast Asia, the Philippines, Vietnam, China, South Korea, and Japan. Nautica will explore the Far East while also offering up a delightful array of voyages that showcase South Africa, Mozambique, Mayotte, and the Seychelles, and Regatta will offer a series of voyages that is a literal kaleidoscope of these fabled countries. There are also copious opportunities to explore singular countries or regions with in-depth immersions of Japan, Arabia, and Indochina.
SOUTH PACIFIC, AUSTRALIA & NEW ZEALAND
Oceania Cruises is greatly expanding its offerings by having two ships in the region – Regatta and Nautica. Regatta presents an intense focus on New Zealand and Australia, including a 35-day holiday circumnavigation of the continent. There is also a cornucopia of voyages that follows the Southern Cross across the Pacific and up to Polynesia where Nautica offers a series of four 10-day sailings roundtrip from Papeete.
CARIBBEAN, PANAMA CANAL & MEXICO
Renowned for creative, immersive itineraries, Oceania Cruises presents an uncommonly diverse and creative roster of sailings to the Caribbean, Panama Canal, and Mexico. Itineraries include off-the-beaten-path destinations such as Bonaire, Dominica, Guadeloupe, and St. Vincent along with the beguiling yacht harbors of Gustavia, Rodney Bay, Tortola, and Port Royal, to name a few. Sailing westward, travelers can immerse themselves in the storied cultures of Mexico, Belize, Honduras, and Guatemala. Panama beckons with its world-changing canal, the colonial charm of Colón and the glittering, cosmopolitan modernity of Panama City.
2024 Collection Highlights
- New ports of call include Beppu, Japan; Bluff, New Zealand; Castro, Chile; Coron, Philippines; Djupivogur, Iceland; Gatun Lake, Panama; Heimaey, Iceland; Port Royal, Jamaica; Kumamoto, Japan; Limerick, Ireland; São Francisco do Sul, Brazil; Seydisfjordur, Iceland; Szczecin, Poland; Taranto, Italy; and
- Itinerary lengths range from 7 to 82 days.
- Hundreds of overnight and extended port stays.
- Riviera charts her inaugural season of sailings to Arabia, India, Asia, Japan, and the Philippines.
- Regatta and Nautica offer two dozen sailings to Australia, the South Pacific, and Polynesia.
- Marina, Riviera, Sirena, and Vista offer 99 voyage choices throughout the Mediterranean.
- Insignia, Nautica, Marina, and Sirena present more than 60 cruise options to the splendors of Iceland, Greenland, the British Isles and Ireland, the Norwegian Fjords and North Cape, and the wine countries and great capitals of Europe.
- Regatta reprises her perennially popular Alaska cruises in 2024 with a selection of 7- to 23-day itineraries sailing from Seattle, Vancouver, Seward, and Los Angeles.
- Insignia and Nautica offer fifteen 7- to 18-day voyages to Bermuda, New England, and Canada with departures from New York City, Boston, and Montreal.
- Nautica and Marina offer 15 South America voyages ranging from 10 to 51 days.
- Regatta, Insignia, Nautica, Sirena, and Vista offer an epic selection of more than 50 departures to the Caribbean, Panama Canal, Mexican Riviera, and California wine country.
THE EVOLUTION OF PERFECTION – A BETTER-THAN-EVER EXPERIENCE
OceaniaNEXT is Oceania Cruises' continual quest to evolve and elevate the guest experience. It focuses on the hallmarks that inspire guests to return to Oceania Cruises time and again: Exquisitely Crafted Cuisine, Curated Travel Experiences and Small Ship Luxury. Reflecting the crisp sophistication of Regatta, Insignia, Nautica, Sirena and Vista, the sweeping Re-inspiration of Marina and Riviera presents a symphony of entirely new suites and staterooms as well as elegant public spaces imbued with a new light, airy ambiance. The signature onboard experience is better than ever too, with the addition of an extensive collection of new flavors and culinary experiences that transforms dining into a sublime experience and service into an art form. The gourmet cuisine has been entirely reimagined, from a bounty of new flavorful dishes at The Grand Dining Room to a Dom Pérignon pairing dinner that is the only one of its kind. Oceania Cruises' newest ship Vista offers multiple unique firsts in the realms of dining and guest experience. Across all ships, holistic wellness encounters at Aquamar Spa + Vitality Center encourage a lifestyle of health and longevity, while new destination experiences such as Go Green, Go Local, Beyond Blueprints, Culinary Discovery Tours, Food & Wine Trails tours, and Wellness Discovery Tours by Aquamar encourage deeper explorations.
THE HEART OF THE EXPERIENCE
One aspect of the Oceania Cruises experience remains constant and unchanged: the trademark warm and personalized service. Whether guests are sailing for the first time or the fifteenth, they will note the ease with which the staff remembers their names and their preferences along with the genuine smiles and enthusiasm that can only come from the heart.
For additional information on Oceania Cruises' small-ship luxury product, exquisitely crafted cuisine, and expertly curated travel experiences, visit OceaniaCruises.com, call 855-OCEANIA, or speak with a professional travel advisor.
About Oceania Cruises
Oceania Cruises is the world's leading culinary- and destination-focused cruise line. The line's seven small, luxurious ships carry a maximum of 1,210 guests and feature the finest cuisine at sea and destination-rich itineraries that span the globe. Expertly curated travel experiences aboard the designer-inspired, small ships call on more than 450 marquee and boutique ports across Europe, Alaska, Asia, Africa, Australia, New Zealand, New England-Canada, Bermuda, the Caribbean, the Panama Canal, Tahiti and the South Pacific in addition to the epic 180-day Around the World Voyages. The brand has a second 1,200-guest Allura Class ship on order for delivery in 2025. With headquarters in Miami, Oceania Cruises is owned by Norwegian Cruise Line Holdings Ltd., a diversified cruise operator of leading global cruise brands which include Norwegian Cruise Line, Oceania Cruises and Regent Seven Seas Cruises.
About Norwegian Cruise Line Holdings Ltd.
Norwegian Cruise Line Holdings Ltd. (NYSE: NCLH) is a leading global cruise company which operates the Norwegian Cruise Line, Oceania Cruises and Regent Seven Seas Cruises brands. With a combined fleet of 28 ships with nearly 60,000 berths, these brands offer itineraries to more than 490 destinations worldwide. The Company has nine additional ships scheduled for delivery through 2027, comprising of approximately 24,000 berths.
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Four Poster Presentations Will Include New Analyses on ARAZLO®
LAVAL, QC, April 27, 2022 /PRNewswire/ -- Bausch Health Companies Inc. (NYSE/TSX: BHC) ("Bausch Health") and its dermatology business, Ortho Dermatologics, today announced the presentation of four poster presentations during the Florida Society of Dermatology Physician Assistants (FSDPA) 2022 New Wave Dermatology Conference, which will take place in Coral Gables, Fla. from April 28 - May 1, 2022. The presentations will feature new clinical data on ARAZLO® (tazarotene) lotion, 0.045%, as well as several encore presentations on DUOBRII® (halobetasol propionate and tazarotene) Lotion, 0.01%/0.045%, JUBLIA® (efinaconazole) Topical Solution, 10%, and SILIQ® (brodalumab) Injection. Please see below for warning about suicidal ideation and behavior with SILIQ.
"At this year's New Wave Dermatology Conference, we will share new data on ARAZLO®, which is the first and only tazarotene lotion for acne that helps improve skin barrier function for acne patients," said Richard Lajoie, vice president and general manager, Ortho Dermatologics. "While there have been several studies examining the safety and efficacy of ARAZLO® for the treatment of facial acne, this is the first open label clinical study showing the safety and efficacy of using ARAZLO® in patients with truncal acne, which involves the chest, back or shoulders and affects 50% of the 50 million Americans currently living with acne.1,2 We also look forward to sharing DUOBRII®, JUBLIA® and SILIQ® data with physician assistants attending the meeting."
Following is a complete list of titles and lead authors for each of these posters:
- "Efficacy of Brodalumab vs Ustekinumab by Prior TNF-α Inhibitor Exposure: Post hoc Analysis of Two Phase 3 Psoriasis Studies." Brunner et al.
- "Long-term Management of Plaque Psoriasis: Maintenance of Treatment Success After Cessation of Fixed-Combination Halobetasol Propionate and Tazarotene Lotion." Mangin et al.
- "Tazarotene 0.045% Lotion for Truncal Acne: Efficacy, Safety, and Spreadability." Kircik et al.
- "Therapeutic Recommendations for the Treatment of Toenail Onychomycosis in the US." Lipner et al.
Important Safety Information for ARAZLO® (tazarotene) Lotion, 0.045%
What is ARAZLO?
ARAZLO® (tazarotene) Lotion, 0.045% is a prescription medicine used on the skin (topical) to treat people 9 years of age and older with acne, which can include blackheads, whiteheads, and other pimples.
It is not known if ARAZLO is safe and effective in children under 9 years of age.
Important Safety Information
ARAZLO is for use on skin only. Do not use ARAZLO in your eyes, mouth, the corners of your nose, or vagina.
What is the most important information I should know about ARAZLO?
- ARAZLO may cause birth defects if used during pregnancy.
- You must not be pregnant when you start using ARAZLO or become pregnant during treatment.
- Use effective birth control during treatment.
- Stop using ARAZLO and tell your healthcare provider right away if you become pregnant during treatment.
Before using ARAZLO, tell your healthcare provider about all your medical conditions, including if you:
- have eczema or any other skin problems.
- are breastfeeding or plan to breastfeed. If you use ARAZLO while breastfeeding, use it for the shortest time needed. Do not apply ARAZLO directly to the nipple and surrounding area to avoid exposing your child to the medicine.
Tell your healthcare provider about all the medicines you take, including prescription and over-the-counter medicines, vitamins, and herbal supplements. Certain medicines can make your skin more sensitive to sunlight; ask your healthcare provider for a list of medicines if you are not sure.
Especially tell your healthcare provider about other products you use on your skin (such as benzoyl peroxide), including moisturizers, creams, lotions, or products that can dry out your skin.
What should I avoid while using ARAZLO?
- You should avoid sunlamps, tanning beds, and ultraviolet light during treatment with ARAZLO.
- Minimize exposure to sunlight; you could get severe sunburn.
If you have to be in the sunlight or are sensitive to sunlight, use a sunscreen with an SPF (sun protection factor) of 15 or more and wear protective clothing and a wide-brimmed hat to cover the treated areas.
- Avoid using ARAZLO on skin with eczema or sunburned skin because it may cause severe irritation.
ARAZLO may cause side effects, including:
Skin irritation. ARAZLO may cause irritation including skin dryness, pain, redness, excessive flaking or peeling. If you develop these symptoms, your healthcare provider may tell you to use a moisturizer, adjust the dosing, or completely stop treatment with ARAZLO.
These are not all the possible side effects of ARAZLO. Call your doctor for medical advice about side effects. You may report side effects to Bausch Health US, LLC at 1-800-321-4576 or FDA at 1-800-FDA-1088 or www.fda.gov/medwatch.
Click here for full Prescribing Information, including Patient Information.
Important Safety Information for DUOBRII® (halobetasol propionate and tazarotene) Lotion, 0.01%/0.045%
What is DUOBRII® Lotion?
DUOBRII (halobetasol propionate and tazarotene) Lotion, 0.01%/0.045%, is a prescription medicine used on the skin (topical) to treat adults with plaque psoriasis. It is not known if DUOBRII Lotion is safe and effective in children.
Important Safety Information
- DUOBRII Lotion is for use on the skin only; do not use it in your mouth, eyes, or vagina.
What is the most important information I should know about DUOBRII Lotion?
DUOBRII Lotion may cause birth defects if used during pregnancy.
A negative pregnancy test must be obtained before females of child-bearing age start using DUOBRII Lotion and they must use effective birth control during treatment. Begin treatment during a normal menstrual period.
Stop using DUOBRII Lotion and tell your healthcare provider right away if you become pregnant while using DUOBRII Lotion.
Before you use DUOBRII Lotion, tell your healthcare provider if you:
- have eczema or any other skin problems, including skin infections, which may need to be treated before using DUOBRII.
- have diabetes, adrenal gland problems or liver problems.
- are breastfeeding or plan to breastfeed. If you use DUOBRII and breastfeed, do not apply DUOBRII to your nipple area.
Tell your healthcare provider about all the medicines you take, including prescription and over-the-counter medicines, vitamins, and herbal supplements.
- Especially tell your healthcare provider if you take corticosteroids by mouth or injection or use other skin products that contain corticosteroids.
- Ask your healthcare provider for a list of medicines that may make your skin more sensitive to sunlight.
What should I avoid during treatment with DUOBRII?
- To avoid a severe sunburn, avoid sunlight, including sunlamps and tanning beds, as much as possible, and use sunscreen, protective clothing and a hat while in sunlight. Talk to your healthcare provider if you get sunburn, and do not use DUOBRII Lotion until your sunburn is healed.
- Avoid using DUOBRII on skin with eczema because it may cause severe irritation.
DUOBRII may cause side effects, including:
- If too much DUOBRII passes through your skin it can cause adrenal glands to stop working
- Cushing's syndrome, a condition from too much exposure to the hormone cortisol
- High blood sugar (hyperglycemia)
- Effects of growth and weight in children
- Skin irritation. If you get too much skin irritation at the site of application, your healthcare provider may tell you to interrupt or stop using DUOBRII or to use it less often.
- Vision problems, including an increased chance of developing cataracts and glaucoma. Tell your healthcare provider about any vision problems during treatment.
The most common side effects of DUOBRII Lotion include: redness, itching, swelling, burning, stinging, application site pain, inflamed hair follicles (folliculitis), thinning of the skin (atrophy), peeling and rash.
To report SUSPECTED ADVERSE REACTIONS, contact Ortho Dermatologics at 1-800-321-4576 or FDA at 1-800-FDA-1088 or visit www.fda.gov/medwatch.
Please click here for full Prescribing Information, including Patient Information.
Important Safety Information for JUBLIA® (efinaconazole) Topical Solution, 10%
INDICATION
JUBLIA® (efinaconazole) Topical Solution, 10% is a prescription medicine used to treat fungal infections of the toenails.
IMPORTANT SAFETY INFORMATION
- JUBLIA® is for use on nails and surrounding skin only. Do not use JUBLIA® in your mouth, eyes, or vagina. Use it exactly as instructed by your doctor.
- The safety and efficacy of JUBLIA® have not been established in children under six years old.
- Before you use JUBLIA®, tell your doctor about all your medical conditions, including if you are or plan to become pregnant, are breastfeeding, or plan to breastfeed, because it is not known whether JUBLIA® can harm an unborn fetus or nursing infant.
- Tell your doctor about all medications you are taking, and whether you have any other nail infections.
- JUBLIA® is flammable. Avoid heat and flame while applying JUBLIA® to your toenail.
- JUBLIA® may cause irritation at the treated site. The most common side effects include: ingrown toenail, redness, itching, swelling, burning or stinging, blisters, and pain. Tell your doctor about any side effects that bother you or do not go away.
To report SUSPECTED ADVERSE REACTIONS, contact Ortho Dermatologics at 1-800-321-4576 or the FDA at 1-800-FDA-1088 or visit www.fda.gov/medwatch.
Please click here for full Prescribing Information, including Patient Information.
Visit www.jubliarx.com to learn more.
Important Safety Information for SILIQ (brodalumab) Injection
What is SILIQ?
SILIQ® injection is a prescription medicine used to treat adults with moderate to severe plaque psoriasis:
- who may benefit from injections or pills (systemic therapy) or phototherapy (treatment using ultraviolet light treatment) and
- who have tried another systemic therapy that didn't work or stopped working
It is not known if SILIQ is safe and effective in children.
What is the most important information I should know about SILIQ?
Suicidal thoughts or behavior: Some patients taking SILIQ have had suicidal thoughts or ended their own lives. This risk is higher if you have a history of suicidal thoughts or depression. It is not known if SILIQ causes these thoughts or actions. Get medical help right away if you or a family member notices that you have any of the following symptoms:
- new or worsening depression, anxiety, or mood problems
- thoughts of suicide, dying, or hurting yourself
- attempt to commit suicide, or acting on dangerous impulses
- other unusual changes in your behavior or mood
Your healthcare provider will give you a SILIQ patient/wallet card about symptoms that need medical attention right away. Carry the card with you during treatment with SILIQ and show it to all of your healthcare providers.
Serious Infections: SILIQ may lower the ability of your immune system to fight infections and may increase your risk of infections:
- Your healthcare provider should check you for tuberculosis (TB) before starting treatment with SILIQ and may treat you for TB before starting SILIQ if you have TB or a history of it
- You and your healthcare provider need to watch closely for signs and symptoms of infection during treatment with SILIQ, including fever, sweats, chills, shortness of breath, stomach issues, muscle aches, cough, sore throat or trouble swallowing, warm/red/painful skin sores, burning while urinating or more frequent urination
Who should not use SILIQ?
Do not use SILIQ if you have Crohn's disease. Tell your healthcare provider if you develop diarrhea, bloody stools, stomach pain or cramping, sudden or uncontrollable bowel movements, loss of appetite, constipation, weight loss, fever or tiredness as these may be symptoms of Crohn's disease.
Before starting SILIQ, tell your healthcare provider if you:
- have a history of mental health problems, including suicidal thoughts, depression, anxiety, or mood problems
- have an infection that does not go away or keeps coming back
- have TB or have been in close contact with someone with TB
- have recently received or are scheduled to receive an immunization (vaccine). You should avoid getting live vaccines while being treated with SILIQ
- are or plan to become pregnant or are breastfeeding or plan to do so. It is unknown if SILIQ can harm your unborn or newborn baby
Tell your healthcare provider about all the medicines you take, including prescription and over-the-counter medicines, vitamins, and herbal supplements.
How should I use SILIQ?
See the detailed "Instructions for Use" that come with your SILIQ for information on the right way to store, prepare, and give your SILIQ injections at home, and how to properly throw away (dispose of) used SILIQ prefilled syringes. Use SILIQ exactly as your healthcare provider tells you to use it.
What are possible side effects of SILIQ?
SILIQ may cause serious side effects. See "What is the most important information I should know about SILIQ?" and "Who should not take SILIQ?"
The most common side effects of SILIQ include:
Call your doctor for medical advice on side effects. You are encouraged to report negative side effects of prescription drugs to Bausch Health at 1-800-321-4576 or FDA at 1-800-FDA-1088 or visit www.fda.gov/medwatch.
Click here for accompanying full Prescribing Information, including Boxed Warning about suicidal ideation and behavior, and Medication Guide.
About Acne Vulgaris
Acne is the most common skin problem in the United States, which occurs when hair follicles become plugged with oil and skin cells, often causing whiteheads, blackheads or pimples to appear on the face, forehead, chest, upper back and shoulders.2,3 Up to 50 million Americans have acne.3 Depending on its severity, acne can cause emotional distress and scar the skin.3
About Ortho Dermatologics
Ortho Dermatologics is dedicated to helping patients in the treatment of a range of therapeutic areas, including psoriasis, actinic keratosis, acne, atopic dermatitis and other dermatoses. The Ortho Dermatologics portfolio also includes several leading medical device systems for aesthetic applications, such as skin tightening and resurfacing, laser hair removal and preventative therapeutic skin care treatments. More information can be found at www.ortho-dermatologics.com.
About Bausch Health
Bausch Health Companies Inc. (NYSE/TSX: BHC) is a global company whose mission is to improve people's lives with our health care products. We develop, manufacture and market a range of pharmaceutical, medical device and over-the-counter products, primarily in the therapeutic areas of eye health, gastroenterology and dermatology. We are delivering on our commitments as we build an innovative company dedicated to advancing global health. For more information, visit www.bauschhealth.com and connect with us on Twitter and LinkedIn.
Forward-looking Statements
This news release may contain forward-looking statements, which may generally be identified by the use of the words "anticipates," "hopes," "expects," "intends," "plans," "should," "could," "would," "may," "believes," "estimates," "potential," "target," or "continue" and variations or similar expressions. These statements are based upon the current expectations and beliefs of management and are subject to certain risks and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. These risks and uncertainties include, but are not limited to, the risks and uncertainties discussed in Bausch Health's most recent annual report on Form 10-K and detailed from time to time in Bausch Health's other filings with the U.S. Securities and Exchange Commission and the Canadian Securities Administrators, which factors are incorporated herein by reference. They also include, but are not limited to, risks and uncertainties caused by or relating to the evolving COVID-19 pandemic, and the fear of that pandemic and its potential effects, the severity, duration and future impact of which are highly uncertain and cannot be predicted, and which may have a material adverse impact on Bausch Health, including but not limited to its project development timelines, launches and costs (which may increase). Readers are cautioned not to place undue reliance on any of these forward-looking statements. These forward-looking statements speak only as of the date hereof. Bausch Health undertakes no obligation to update any of these forward-looking statements to reflect events or circumstances after the date of this news release or to reflect actual outcomes, unless required by law.
References
- Del Rosso JQ. Cutis. 2006 May;77(5):285-9.
- American Academy of Dermatology. (2020). Skin conditions by the numbers. Retrieved from https://www.aad.org/media/stats/conditions/skin-conditions-by-the-numbers. Accessed April 11, 2022.
- Mayo Clinic. (2020). Acne. Retrieved from https://www.mayoclinic.org/diseases-conditions/acne/symptoms-causes/syc-20368047. Accessed April 11, 2022.
®/TM are trademarks of Ortho Dermatologics' affiliated entities.
© 2022 Ortho Dermatologics' affiliated entities.
ORD.0070.USA.22
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New York's Iconic Home for Media Hosts Interactive Exhibition for Fans of All Ages, In Celebration of the Upcoming New Paramount+ Original Series, "Star Trek: Strange New Worlds"
NEW YORK, April 27, 2022 /PRNewswire/ -- The Paley Center for Media today announced that its new immersive exhibition, The Visionary Universe of Star Trek: Strange New Worlds, will be open to the public Wednesday, April 27 through Sunday, May 29. This exhibition celebrates the latest incarnation of the groundbreaking Star Trek franchise, the Paramount+ Original Series Star Trek: Strange New Worlds, and the many acclaimed series in the Star Trek universe, which have captivated audiences across decades.
Throughout the celebration, the Paley Center will host special screenings, opportunities to view costumes and artifacts from several series, chances to take photos in the Captain's chair, weekend Kids & Family programs featuring Paramount+'s hit animated original kids' series Star Trek: Prodigy and much more.
"From its breakthrough original TV series to its ever-expanding media universe, Star Trek continues to inspire and entertain fans by the millions worldwide," The Paley Center's President & CEO Maureen J. Reidy says. "Thanks to our partnership with Paramount+, these fans will get a rare chance to immerse themselves in Star Trek memorabilia, legend, and lore at The Paley Center, a contemporary cultural destination for New Yorkers, tourists, and Star Trek fans alike."
"Star Trek's enduring legacy is not only attributed to its groundbreaking storytelling but to its amazing fanbase, and we are thrilled to continue this legacy with the addition of Star Trek: Strange New Worlds," says Domenic DiMeglio, EVP and CMO, Paramount Streaming. "We are honored and excited to collaborate with The Paley Center for Media on this immersive exhibit to celebrate with fans the 'strange new worlds' the brilliant creative minds behind the new series have built, while also celebrating over 55 years of the Star Trek franchise."
Below is the experience schedule for opening week, April 27 - May 4:
Wednesday, April 27: Exhibit opens at 12:00 pm and daily screenings begin at 12:10 pm.
Saturday, April 30: Weekend family screenings of Star Trek: Prodigy and Star Trek: The Animated Series begin at 12:10 pm, along with Star Trek crafts for the kids and surprise guests.
Sunday, May 1: Be among the first to experience the newest Star Trek series before it premieres exclusively on Paramount+. The Paley Center will be holding a preview screening of Episodes 1 and 2 of Star Trek: Strange New Worlds at 1:00 pm.
Daily screenings: Experience the premiere episodes from various Star Trek TV series on the big screen, including "The Cage," the 1965 pilot episode from the original Star Trek series. Screenings begin at 12:10 pm daily.
For ticketing and additional Membership information, please visit www.paleycenter.org.
Upcoming Attractions!
The Paley Center's robust spring schedule of wide-ranging PaleyLive Events and Paley Exhibits:
- The Today Show 70th Anniversary (May 11) To commemorate the 70th anniversary of the premiere of NBC News's TODAY, the Paley Center is thrilled to welcome the show's current hosts to discuss the unique impact and cultural significance of this legendary program. Since its premiere on January 14, 1952, this genre-defining program has set the standard for morning television, combining news, entertainment, and culture into a powerful mix that continues to be a constant in television and society. With favorites Savannah Guthrie, Hoda Kotb, Al Roker, Craig Melvin, Carson Daly, Jenna Bush Hager, Willie Geist, Sheinelle Jones, and Dylan Dreyer joining in person.
- The Paley Center's Salute to LGBTQ+ Achievements in Television (Opening May 25) This salute shines the spotlight on the creative contributions of legendary LGBTQ+ icons, influential programs, and extraordinary moments that have shaped our culture across five genres: drama, comedy, news/talk/documentary, music/variety, and sports.
- ESPN Presents Fifty/50: The Stories of Title IX (Opening June 2) The Paley Center and ESPN present an immersive exhibition commemorating the 50th anniversary of the passing of Title IX, highlighting the civil rights journey of women across the sports and cultural landscape. The exhibition explores stories at the intersection of women, sports, culture, and the fight for equality. Content highlights include 37 Words, a four-part documentary series chronicling the hard-fought battle of equal rights in education and athletics from award-winning directors Dawn Porter (John Lewis: Good Trouble) and Nicole Newnham (Crip Camp), plus iconic artifacts, video highlights and more.
About The Paley Center for Media
The Paley Center for Media is a 501(c)(3) nonprofit organization that leads the discussion about the cultural, creative, and social significance of television, radio, and emerging platforms, drawing upon its curatorial expertise, an international collection, and close relationships with the media community. The general public can participate in Paley programs in both New York and Los Angeles that explore and celebrate the creativity, the innovations, the personalities, and the leaders who are shaping media. The public can also access the Paley Center's permanent media collection, containing over 160,000 television and radio programs and advertisements. Through the global programs of its Media Council and International Council, the Paley Center also serves as a neutral setting where media professionals can engage in discussion and debate about the evolving media landscape. Previously known as The Museum of Television & Radio, the Paley Center was founded in 1975 by William S. Paley, a pioneering innovator in the industry.
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SOURCE The Paley Center for Media | https://www.whsv.com/prnewswire/2022/04/27/paley-center-media-brings-star-trek-big-apple/ | 2022-04-27T20:57:20Z |
SAN JOSE, Calif., April 27, 2022 /PRNewswire/ -- PayPal Holdings, Inc. (NASDAQ: PYPL) today announced its first quarter 2022 results for the period ended March 31, 2022. The earnings release and related materials discussing these results can be found on its investor relations website at https://investor.pypl.com/financials/quarterly-results/default.aspx.
PayPal Holdings, Inc. will host a conference call to discuss these results at 2:00 p.m. Pacific time (5:00 p.m. Eastern time) today. A live webcast of the conference call will be available at https://investor.pypl.com. In addition, an archive of the webcast will be accessible for 90 days through the same link.
PayPal has remained at the forefront of the digital payment revolution for more than 20 years. By leveraging technology to make financial services and commerce more convenient, affordable, and secure, the PayPal platform is empowering 429 million consumers and merchants in more than 200 markets to join and thrive in the global economy. For more information, visit paypal.com.
Investor Relations Contacts
Gabrielle Rabinovitch
grabinovitch@paypal.com
Ryan Wallace
ryanwallace@paypal.com
Media Relations Contacts
Amanda Miller
amandacmiller@paypal.com
Josh Criscoe
jcriscoe@paypal.com
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SOURCE PayPal Holdings, Inc. | https://www.whsv.com/prnewswire/2022/04/27/paypal-reports-first-quarter-2022-results/ | 2022-04-27T20:57:27Z |
Pinpoints dashboards quickly show managers their responsibilities while monitoring the status of their agents
NASHUA, N.H., April 27, 2022 /PRNewswire/ -- For 20 years, Pinpoint Global has delivered the most comprehensive learning management systems (LMS) to the financial services industry. Pinpoint introduces its latest technology innovation—data driven dashboards. Pinpoint dashboards provide clients real-time insights of their downline personnel's status against training, coaching and compliance requirements. Additionally, advisors and wholesalers have personalized dashboard homepages linking them to their training, compliance requirements, content libraries and other productivity materials.
"The design of Pinpoint's dashboards has been extremely well received by Pinpoint's clients. Client's seeing the dashboards immediately recognize the benefits they will have managing their business and sales force," says Bob Sullivan, CEO of Pinpoint Global Communications.
Some benefits dashboards provide include providing managers the ability to quickly see who is on track and who is falling behind assigned training and compliance—without sorting through cumbersome reports. Dashboards enable managers to view their recruiting pipeline and sales production data without leaving the Pinpoint LMS. Managers can quickly see who is ready to sell and who poses a risk against required assigned training and compliance programs.
Dashboards provide significant value to individuals by providing them real-time access to their status relative to training and other assignments. From their homepage, they can stay up to speed on news, register for events, receive manager assignments and access key productivity materials.
About Pinpoint Global Communications
Pinpoint Global is the recognized leader of on-demand, on-line training and compliance solutions for the financial services and health insurance industries. Pinpoint's financial services clients include; MassMutual, Cetera, Equitable Advisors, Equitable Distributors, MetLife, AIG, Prudential, Allianz, Lincoln Financial, Manulife, Raymond James LTD., Guardian Life, and more than fifty (50) others. Pinpoint's health plan clients include; Cigna, BlueCross Blue Shield of Minnesota, BlueCross BlueShield of Michigan, Wellmark, Regence, BlueCross Blue Shield of Louisiana, the BlueCross BlueShield Association and more than 25 other health plans.
The Pinpoint platform enables clients to deliver required training and relevant information to salespeople, agents, wholesalers and employees in ways that keep their attention, improve their understanding and easily track their progress. Additionally, administrators and management personnel possess the capability to track and monitor progress through real-time reports.
Pinpoint also provides video, audio and flash animation production, to SCORM compliant presentation authoring and hosting, to custom designed portals.
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SOURCE Pinpoint Global Communications | https://www.whsv.com/prnewswire/2022/04/27/pinpoints-personalized-data-driven-dashboards/ | 2022-04-27T20:57:34Z |
PRESTON, Md., April 27, 2022 /PRNewswire/ -- PSB Holding Corp. (OTCQX:PSBP) (the "Company"), the parent company of Provident State Bank, Inc. ("Provident" or the "Bank"), reported net income of $1.00 million ($.65 per diluted common share) for the three months ended March 31, 2022 compared to $1.21 million ($.80 per diluted common share) for the three months ended March 31, 2021, representing a decline of 17.5%. The decline in net income was primarily attributable to a reduction in revenue associated with the Small Business Administration ("SBA") Payroll Protection Program ("PPP").
Performance Review
Small Business Administration's Payroll Protection Program
The Bank's participation in the SBA's PPP, established in April 2020, contributed more significantly to financial performance during the first quarter of 2021 as compared to the first quarter of 2022. During the three months ended March 31, 2021, Provident originated PPP loans totaling $29.27 million and recognized fee income net of costs (amortized as a loan yield adjustment) of $667,000. PPP loan principal forgiven by the SBA and principal payments received totaled $17.35 million during the first quarter 2021. During the same period of 2022, no PPP loans were originated as the program was closed, $1.08 million in loans were forgiven and net fee income totaling $49,000 was recognized. As of March 31, 2022, all PPP loans had been forgiven or repaid in full and all related fee income had been recognized.
Net Interest Margin
The net interest margin ("NIM") was 3.05% during the first quarter 2022 compared to 3.45% during the same period in 2021. The NIM benefited from higher PPP revenue as noted above during the first quarter 2021.
First Quarter 2022 Compared to First Quarter 2021
In addition to the reduced revenue associated with PPP lending activities previously noted, net income during the first quarter 2022 compared to the same period in 2021 was impacted by lower gain on sale of loans of $66,000 and higher salaries and benefits expense of $152,000, offset by lower interest expense of $260,000, lower loan loss provision expense of $65,000, higher deposit service charge income of $58,000 and lower occupancy expense of $51,000. Gain on sale of loans totaled $194,000 during the three months ended March 31, 2022 compared to $260,000 during the same period in 2021. The decline in mortgage banking activity was largely driven by rising interest rates. The increase in salaries and benefits was largely driven by a reduction in salary deferrals associated with loan origination activity totaling $80,000 and an increase in deferred compensation expense of $33,000. Lower interest expense reflected the continued benefit of the repricing of the Bank's time deposit portfolio to lower interest rates. Higher deposit service charge income reflected increased transaction-based fee income including overdraft fees and ATM transaction fees.
Balance Sheet and Asset Quality
Assets totaled $576.1 million at March 31, 2022, increasing $4.4 million or .8% compared to March 31, 2021. Deposits and repurchase agreements totaled $510.5 million at March 31, 2022 compared to $485.6 million at March 31, 2021, representing growth of 5.1%. Gross loans, exclusive of PPP loans, totaled $361.8 million at March 31, 2022, representing an increase of $27.1 million or 8.1% compared to March 31, 2021. Stockholders' Equity totaled $44.9 million at March 31, 2022 compared to $51.6 million at December 31, 2021 and $48.6 million at March 31, 2021. The decrease in stockholders' equity was driven by growth in unrealized losses associated with the Bank's investment portfolio held as available for sale ("AFS"). As of March 31, 2022, accumulated other comprehensive losses associated with the AFS portfolio totaled $8.5 million compared to $846,000 at December 31, 2021 and a gain of $39,000 at March 31, 2021. The significant increase in unrealized losses at March 31, 2022 was largely driven by a dramatic jump in market rates during the month of March 2022 as the market attempted to digest commentary from the Federal Reserve regarding its plan to combat inflationary pressures. These unrealized losses are not included in regulatory capital and the Bank remained well capitalized at March 31, 2022. As of March 31, 2022, non-performing assets and past due loans 30 days or more were .54% of total assets compared to .38% at the end of 2021 and .34% at March 31, 2021.
President and Chief Executive Officer Melissa Quirk commented on the Company's performance stating, "We are pleased with our performance during the first quarter of 2022 given the loss of revenue associated with PPP lending activities. While challenges lie ahead as inflation and increasing interest rates pressure the economy, our team will continue to work to grow the bank in a prudent and efficient manner."
PSB Holding Corp. is the holding company of Provident State Bank, Inc., a full-service financial institution serving the eastern shore of Maryland since 1904. Provident State Bank, Inc. has ten locations in Preston, Federalsburg, Ridgely, Denton, Easton-Elliot Road, Easton-Harrison Street, Secretary, Cambridge, Salisbury and Lewes (Delaware). For more information on PSB Holding Corp. and Provident State Bank, Inc., visit www.providentstatebank.com.
Forward-Looking Statements
Forward-looking statements relating to PSB Holding Corp. and its subsidiary, Provident State Bank, Inc. may include plans, strategies, objectives, expectations, intentions and adequacy of resources. All statements other than statements of historical fact, including, without limitation, statements regarding business strategy, future events, activities, performance, and plans and objectives for future operations, are forward-looking statements. Therefore, the illustrative value of forward-looking statements made in or pursuant to this press release should not, under any circumstances, be considered a guaranty or promise that such future events, activities, occurrences or performances will take place.
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SOURCE PSB Holding Corp. | https://www.whsv.com/prnewswire/2022/04/27/psb-holding-corp-reports-first-quarter-2022-results/ | 2022-04-27T20:57:41Z |
NEWARK, N.J., April 27, 2022 /PRNewswire/ -- PSEG and The PSEG Foundation have joined the New Jersey Hall of Fame (NJHOF) as a partner, helping tell the story of New Jersey's greatness throughout the Garden State.
"The Entertainment Learning Center will provide an enriching and educational experience for all who visit this cutting-edge museum," said PSEG Foundation President Calvin Ledford. "This is an opportunity for economic growth in the state while providing insight into the history of individuals who have made a significant impact in New Jersey."
As a non-profit organization, NJHOF succeeds because of New Jersey organizations such as PSEG and The PSEG Foundation. This partnership will allow NJHOF to continue to bring unique learning opportunities to communities across New Jersey.
"New Jersey's leaders have joined with the New Jersey Hall of Fame to inspire people to become leaders in their own fields," said NJHOF Chairman Jon F. Hanson. "We are beyond grateful to PSEG and The PSEG Foundation for their support."
"We created the Hall of Fame to inspire the younger generation on the many heroes and role models within our state," said NJHOF President Steve Edwards. "PSEG and The PSEG Foundation's support enables us to continue providing that inspiration to our future leaders and all residents."
With the support of The PSEG Foundation, NJHOF will continue to honor New Jersey citizens who have positively influenced society.
"PSEG has been with us since Day One, and we can't thank them enough for their rock-solid support," continued Edwards. "We're thankful to PSEG and our sponsors, including lead sponsor Hackensack Meridian Health, for their outstanding contributions."
About the New Jersey Hall of Fame
New Jersey Hall of Fame is a non-profit organization honoring citizens who have made invaluable contributions to society, the State of New Jersey, and the world beyond. Since 2008, NJHOF has hosted 13 ceremonies for over 200 notable individuals and groups in recognition of their induction into the Hall of Fame. NJHOF endeavors to present our youth with significant and impactful role models to show that they can, and should, strive for excellence.
The NJHOF is thankful for the support of its many sponsors, particularly its Lead Sponsor and Premier Healthcare Partner, Hackensack Meridian Health. Together we focus on educating New Jersey on how to maintain health and wellness in the modern world.
For more information, go to www.njhalloffame.org.
About The PSEG Foundation
The PSEG Foundation, 501(c)(3), the philanthropic arm of Public Service Enterprise Group Inc. (PSEG) (NYSE: PEG), prioritizes investments promoting environmental sustainability, social justice, and equity and economic empowerment. Headquartered in Newark, N.J., PSEG is a predominantly regulated infrastructure company focused on a clean energy future. In 2021, PSEG was named to the Dow Jones Sustainability Index North America for the 14th consecutive year, named to the JUST 100 as one of America's Most JUST Companies, and has been listed among America's Most Responsible Companies for 2022 by Newsweek (https://corporate.pseg.com/).
Visit PSEG at:
www.pseg.com
PSEG on Facebook
PSEG on Twitter
PSEG on LinkedIn
PSEG Energize!
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SOURCE New Jersey Hall of Fame | https://www.whsv.com/prnewswire/2022/04/27/pseg-foundation-joins-new-jersey-hall-fame-partner/ | 2022-04-27T20:57:48Z |
Strong Q2 performance; Raising FY'22 ARR, Free Cash Flow, and Revenue guidance
BOSTON, April 27, 2022 /PRNewswire/ -- PTC (NASDAQ: PTC) today reported financial results for its second fiscal quarter ended March 31, 2022.
"In the second quarter we continued to see our key operating and financial metrics showing strong performance. We delivered organic constant currency ARR growth of 13% year over year to end Q2 at $1.56 billion. In Q2, our cash from operations was $142 million, up 17% year over year, and our adjusted free cash flow was $158 million, up 22% year over year. The strength in Q2 was broad-based across all segments and geographic regions, driven by demand for digital transformation and SaaS," said James Heppelmann, President and CEO, PTC.
"Our differentiated product portfolio and growing SaaS capabilities position PTC to drive superior value for customers. Our market position coupled with our subscription model, which took us years of hard work to put in place, is highly resilient and positions us to continue to deliver strong double-digit ARR growth. Based on our strong performance in the first half of the year and the momentum we have created, we are raising our fiscal 2022 guidance for ARR and free cash flow," concluded Heppelmann.
Key operating and financial highlights are set forth below. For additional details, please refer to the Q2'22 earnings presentation and financial data tables that have been posted to the Investor Relations section of our website at investor.ptc.com. Revenue and, as a result, operating margin and earnings per share are impacted by revenue recognition under ASC 606.
- ARR was $1,532 million at the end of Q2'22, up 11% compared to Q2'21. On a constant currency basis, ARR was $1,564 million, up 13% compared to Q2'21, and above guidance of $1,540 million to $1,550 million. ARR at the end of Q2'22 includes a $4 million reduction associated with discontinuing our business operations in Russia.
- Cash flow from operations was $142 million, free cash flow was $140 million, and adjusted free cash flow was $158 million in Q2'22, compared to Q2'21 cash flow from operations of $122 million, free cash flow of $116 million, and adjusted free cash flow of $130 million.
- Revenue was $505 million in Q2'22 compared to $462 million in Q2'21, representing growth of 9%. On a constant currency basis, year-over-year revenue growth in Q2'22 was 13%.
- Operating margin was 32% in Q2'22, compared to 22% in Q2'21. Non-GAAP operating margin in Q2'22 was 42%, compared to 37% in Q2'21. GAAP and non-GAAP operating margin expanded year over year due to higher revenue and operational discipline.
- Earnings per share was $0.76 in Q2'22, compared to $0.92 in Q2'21. Non-GAAP earnings per share in Q2'22 was $1.39, compared to $1.08 in Q2'21. GAAP EPS in Q2'22 was negatively impacted by a non-cash charge within other expense due to a decline in value of a publicly traded equity investment, which was sold in Q2'22.
- Total cash and cash equivalents as of the end of Q2'22 was $307 million. Gross debt was $1.28 billion as of the end of Q2'22. During Q2'22, we repaid $175 million on our revolving credit facility and we had proceeds of $43 million from the sale of the aforementioned equity investment.
- Stock repurchases were $5 million in Q2'22, reflecting the settlement of repurchases that were initiated in Q1'22
1 We include operating and non-GAAP financial measures in our operational highlights. The detailed definitions of these items and reconciliations of non-GAAP financial measures to comparable GAAP measures are included below and in the reconciliation tables at the end of this press release.
"PTC delivered strong second quarter results that exceeded our expectations," said Kristian Talvitie, EVP and CFO, PTC. "Based on our Q2 performance and our forecast for the remainder of the year, we are raising our guidance for fiscal 2022 ARR, Free Cash Flow, and Revenue. Despite significant foreign exchange headwinds and the impact of exiting our business in Russia, our strong execution and operational discipline have helped us to deliver solid financial performance thus far in fiscal 2022, and we believe we are well positioned to deliver on our updated targets for the year."
Our FY'22 and Q3'22 financial guidance includes the assumptions below:
- We provide ARR guidance on a constant currency basis, using our FY'22 Plan foreign exchange rates (rates as of September 30, 2021) for all periods. Based on foreign exchange rate fluctuations as of the end of Q2'22, we currently expect a $34 million headwind (previously $13 million), relative to our constant currency ARR guidance for FY'22, and a $32 million headwind, relative to our constant currency ARR guidance for Q3'22.
- We expect FY'22 organic churn to improve by approximately 100 basis points over FY'21.
- Due to invoicing seasonality, the majority of our collections occur in the first half of our fiscal year. Q4 is our lowest cash flow generation quarter.
- Costs are expected to ramp throughout FY'22 due to hiring and increased SaaS investments. At the mid-point of ARR guidance, we expect FY'22 GAAP operating expenses to increase approximately 3% to 4% (previously 4% to 5%) and non-GAAP operating expenses to increase approximately 2% to 3% over FY'21.
- FY'22 GAAP results are expected to include the items outlined below, totalling $293 million to $308 million (previously $275 million to $280 million), as well as their related tax effects:
- Our FY'22 guidance does not reflect operating results of the Intland acquisition and the ITCI transaction, the impact of business combination accounting, incremental interest expense, or transaction-related charges not incurred as of the end of Q2'22.
- Related to restructuring, for FY'22 we expect:
- Our FY'22 GAAP tax rate is expected to be approximately 20% and our non-GAAP tax rate is expected to be approximately 19%.
- FY'22 capital expenditures are expected to be approximately $25 million (previously $30 million).
- For the remainder of FY'22, we plan to focus on de-levering. In FY'23 and on a go-forward basis, assuming our Debt/EBITDA ratio is below 3x, our goal is to return approximately 50% of our free cash flow to shareholders via share repurchases.
The Company will host a conference call to discuss results at 5:00 pm ET on Wednesday, April 27, 2022. To participate in the live conference call, dial (888) 330-2508 or (240) 789-2735 and provide the passcode 7328695, or log in to the webcast, available on PTC's Investor Relations website. A replay will also be available.
PTC provides supplemental non-GAAP financial measures to its financial results. We use these non-GAAP financial measures, and we believe that they assist our investors, to make period-to-period comparisons of our operating performance because they provide a view of our operating results without items that are not, in our view, indicative of our operating results. These non-GAAP financial measures should not be construed as an alternative to GAAP results as the items excluded from the non-GAAP financial measures often have a material impact on our operating results, certain of those items are recurring, and others often recur. Management uses, and investors should consider, our non-GAAP financial measures only in conjunction with our GAAP results.
Non-GAAP operating expense, non-GAAP operating margin, non-GAAP gross profit, non-GAAP gross margin, non-GAAP net income and non-GAAP EPS exclude the effect of the following items: stock-based compensation; amortization of acquired intangible assets; acquisition-related and other transactional charges included in general and administrative expenses; restructuring and other charges, net; certain non-operating charges and credits; and income tax adjustments. Additional information about the items we exclude from our non-GAAP financial measures and the reasons we exclude them can be found in "Non-GAAP Financial Measures" on page 24 of our Annual Report on Form 10-K for the fiscal year ended September 30, 2021. In FY'21, we incurred tax expense related to a South Korean tax matter which is excluded from our non-GAAP financial measures as it is related to prior periods and not included in management's view of results for comparative purposes. We also recorded a tax benefit in FY'21 related to the release of our U.S. valuation allowance as a result of the Arena acquisition and our conclusion that it is now more likely than not that we will realize the majority of our deferred tax assets in the U.S. As the non-GAAP tax provision is calculated assuming that there is no valuation allowance, this benefit has been excluded from our non-GAAP financial measures.
Free Cash Flow and Adjusted Free Cash Flow – PTC provides information on free cash flow and adjusted free cash flow to enable investors to assess our ability to generate cash without incurring additional external financings and to evaluate our performance against our announced long-term goals and intent to return approximately 50% of our free cash flow to shareholders via stock repurchases. Free cash flow is cash provided by (used in) operations net of capital expenditures. Adjusted free cash flow is free cash flow net of restructuring payments, acquisition-related payments, and non-ordinary course tax-related payments or receipts. Free cash flow and adjusted free cash flow are not measures of cash available for discretionary expenditures.
Constant Currency (CC) Change Metric – We present CC information to provide a framework for assessing how our underlying business performed excluding the effects of foreign currency rate fluctuations. To present CC information, FY'22 and comparative prior period results for entities reporting in currencies other than United States dollars are converted into United States dollars using the foreign exchange rate as of September 30, 2021, rather than the actual exchange rates in effect during that period.
ARR – To help investors understand and assess the performance of our business as a SaaS and on-premise subscription company we provide an ARR (Annual Run Rate) operating measure. ARR represents the annualized value of our portfolio of active subscription software, cloud, SaaS, and support contracts as of the end of the reporting period. ARR includes orders placed under our Strategic Alliance Agreement with Rockwell Automation, including orders placed to satisfy contractual minimum commitments.
We believe ARR is a valuable operating metric to measure the health of a subscription business because it captures expected subscription and support cash generation from customers.
Statements in this press release that are not historic facts, including statements about our future financial and growth expectations and targets, and potential stock repurchases, are forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those projected. These risks include: the macroeconomic and/or global manufacturing climates may not improve when or as we expect, or may deteriorate, due to, among other factors, the COVID-19 pandemic and the effects of the Russia/Ukraine conflict, which could cause customers to delay or reduce purchases of new software, reduce the number of subscriptions they carry, or delay payments to us, all of which would adversely affect ARR and our financial results, including cash flow; our businesses, including our SaaS businesses, may not expand and/or generate the revenue or ARR we expect if customers are slower to adopt our technologies than we expect or if they adopt competing technologies; our signed transactions with Intland Software and ITC Infotech may not close when or as we expect due to the failure to achieve the applicable closing conditions and such transactions may not have the expected effects on our business or results of operations; our strategic initiatives and investments, including our restructuring and our accelerated investments in our transition to SaaS, may not deliver the results when or as we expect; we may be unable to generate sufficient operating cash flow to repay amounts under our credit facility or to return 50% of free cash flow to shareholders, and other uses of cash or our credit facility limits or other matters could preclude such repayment and/or repurchases; and foreign exchange rates may differ materially from those we expect. In addition, our assumptions concerning our future GAAP and non-GAAP effective income tax rates are based on estimates and other factors that could change, including the geographic mix of our revenue, expenses, and profits. Other risks and uncertainties that could cause actual results to differ materially from those projected are detailed from time to time in reports we file with the Securities and Exchange Commission, including our most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q.
PTC enables global manufacturers to realize double-digit impact with software solutions that enable them to accelerate product and service innovation, improve operational efficiency, and increase workforce productivity. In combination with an extensive partner network, PTC provides customers flexibility in how its technology can be deployed to drive digital transformation – on premises, in the cloud, or via its pure SaaS platform. At PTC, we don't just imagine a better world, we enable it.
PTC Investor Relations Contact
Matt Shimao
SVP, Investor Relations
mshimao@ptc.com
investor@ptc.com
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SOURCE PTC Inc. | https://www.whsv.com/prnewswire/2022/04/27/ptc-announces-second-fiscal-quarter-2022-results/ | 2022-04-27T20:57:54Z |
Vantage will introduce top new properties throughout Mexico
LOS CABOS, Mexico, April 27, 2022 /PRNewswire/ -- Pueblo Bonito Golf & Spa Resorts, one of Mexico's leading hospitality companies, has unveiled a new upscale brand – Pueblo Bonito Vantage.
Intended for the discerning, experienced traveler who seeks superior service, high-end design, and unique experiences, Pueblo Bonito Vantage will offer a refined hospitality experience, one which includes upscale accommodations, oversized suites, enhanced amenities, superior service, and authentic experiences.
The first property to represent the new brand—the Pueblo Bonito Vantage San Miguel de Allende—is currently under construction, scheduled to open during the first half of 2023. The quaint colonial town, Mexico's most enchanting destination, was ranked by Travel + Leisure as the "World's Best City" in 2021. Marked by sloping cobblestoned lanes and colorful, well-preserved 17th- and 18th-century Spanish colonial buildings, San Miguel's historic core, chockablock with art galleries and sidewalk cafes, is a UNESCO World Heritage Site. The city is tucked away in the central highlands roughly equidistant from Guadalajara and Mexico City and an hour's drive away from both Leon and Queretaro airports.
Pueblo Bonito Vantage San Miguel de Allende will enjoy a prime location overlooking the city's historic quarter and the iconic Parroquia de San Miguel Arcángel (Church of Saint Michael, the Archangel), the soaring neo-Gothic cathedral around which the entire town revolves. The hotel will offer a gourmet restaurant, including a rooftop bar with a breathtaking view of the pink sandstone cathedral. In addition to banquet space for groups and conventions, a beautiful grass area for weddings and events also overlooks the magnificent church. The new hotel, only a 10-minute walk from the city's historic downtown area, will feature 111 rooms and suites, plus 45 full ownership residences, which will be introduced to the market this spring. Interested parties may register to receive information and an invitation to the exclusive preview event at www.vantageresidences.mx/en.
Next in the planning stages is the Pueblo Bonito Vantage Los Cabos and the Pueblo Bonito Vantage at Punta Maroma, the latter which fronts the Caribbean Sea on Mexico's Riviera Maya.
Deluxe amenities designed to elevate the Pueblo Bonito Vantage brand include:
- Gourmet a la carte dining options, including a variety of healthy, organic options and alternatives for dietary requirements
- Upscale accommodations, exquisitely furnished, with premium bedding, pillow menu, and high-quality bath and beauty products (including a selection of soaps and scents), bathrobe, slippers, iPod dock, and Bluetooth speaker
- A spacious, luxurious Armonia Spa
- Unique experiences, including expert-led classes and curated access to local culture, including local wine or beer tasting and specialty foods tasting
- 24-hour butler service for every guest. Vantage butlers will be 'artists of service,' providing extraordinary care and attention create unforgettable guest experiences.
- VIP shopping (discounts with local shops or tour vendors)
- Customized in-room relaxation services (scent diffusers, soothing eye pillows, noise machines)
- Aromatherapy in lobby and public areas
Additional information is available at Pueblo Bonito Vantage - Pueblo Bonito Resorts.
About Pueblo Bonito Golf & Spa Resorts
Pueblo Bonito Golf & Spa Resorts include eight award-winning properties in two destinations, Cabo San Lucas and Mazatlán, all offering luxury all-inclusive options. Each of the properties has its own personality, design and ambiance, yet all share the same high level of impeccable quality and distinguished atmosphere.
In Cabo San Lucas, the adults-only Pueblo Bonito Pacifica Golf & Spa Resort is the ideal setting for a romantic getaway, while Pueblo Bonito Sunset Beach Golf & Spa Resort, with its large, all ocean-view suites, is perfect for families. Pueblo Bonito Rosé Resort & Spa and Pueblo Bonito Los Cabos, both located on El Médano beach, have the best to offer vacationers looking to be right in the middle of all the Cabo action. In Mazatlán, the elegant jewel Pueblo Bonito Emerald Bay Resort & Spa overlooks the Pacific Ocean and a private beach, while the charming Pueblo Bonito Mazatlán, is located in the famous Golden Zone. Both resorts are great for family vacations and romantic getaways. For more information visit www.pueblobonito.com, find us on Facebook at www.facebook.com/pueblobonitoresort and follow us on Instagram @pueblobonito
Media Contacts
Karen Moraghan
Hunter Public Relations
(908) 963-6013
kmoraghan@hunter-pr.com
Mary van den Heuvel
Pueblo Bonito Golf & Spa Resorts
(858) 780-8938
mary@pueblobonito.com
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SAN DIEGO, April 27, 2022 /PRNewswire/ -- Qualcomm Incorporated (NASDAQ: QCOM) today announced the Company's financial results for its second quarter of fiscal 2022 through an earnings release that is available on the Qualcomm Investor Relations website at http://investor.qualcomm.com/results.cfm. The earnings release will also be furnished to the Securities and Exchange Commission (SEC) on a Form 8-K and will be available on the SEC website at http://www.sec.gov.
As previously announced, Qualcomm will host a conference call to discuss its fiscal second quarter results which will be broadcast live on April 27, 2022, beginning at 1:45 p.m. Pacific Time (PT) at http://investor.qualcomm.com/events.cfm. An audio replay will be available at http://investor.qualcomm.com/events.cfm and via telephone following the live call for 30 days thereafter. To listen to the replay via telephone, U.S. callers may dial (877) 660-6853 and international callers may dial (201) 612-7415. Callers should use reservation number 13728288.
About Qualcomm
Qualcomm is the world's leading wireless technology innovator and the driving force behind the development, launch and expansion of 5G. When we connected the phone to the internet, the mobile revolution was born. Today, our foundational technologies enable the mobile ecosystem and are found in every 3G, 4G and 5G smartphone. We bring the benefits of mobile to new industries, including automotive, the internet of things and computing, and are leading the way to a world where everything and everyone can communicate and interact seamlessly.
Qualcomm Incorporated includes our licensing business, QTL, and the vast majority of our patent portfolio. Qualcomm Technologies, Inc., a subsidiary of Qualcomm Incorporated, operates, along with its subsidiaries, substantially all of our engineering and research and development functions and substantially all of our products and services businesses, including our QCT semiconductor business. For more information, visit www.qualcomm.com.
Qualcomm Contact:
Mauricio Lopez-Hodoyan, Investor Relations
Phone: 1-858-658-4813
Email: ir@qualcomm.com
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SOURCE Qualcomm Incorporated | https://www.whsv.com/prnewswire/2022/04/27/qualcomm-earnings-release-available-companys-investor-relations-website/ | 2022-04-27T20:58:09Z |
BRENTWOOD, Tenn., April 27, 2022 /PRNewswire/ -- Quincy Health, LLC, (the "Company"), the parent company of Quorum Health, has appointed health care industry veteran Stuart McLean to the role of interim chief executive officer as current CEO Dan Slipkovich moves forward with an accelerated retirement to focus on family commitments. McLean will begin in his new position May 2; Slipkovich will continue in an advisory role and will remain an equity partner in the Company.
McLean, a managing director with Alvarez and Marsal, has served in a variety of health industry leadership positions in the last 25 years including executive roles with Temple University Health System and North Shore-LIJ Health System (now Northwell Health). He has led strategic planning and implementation initiatives for non-profit and for-profit integrated health systems, community hospitals, academic medical centers and medical schools and brings extensive expertise in the areas of operational and financial performance, quality improvement and market positioning.
"Stu's track record in developing large-scale operational initiatives and managing enterprise growth make him a natural selection to help lead Quorum at this time," said Catherine Klema, chair of the Quincy Health Board of Managers. "With Stu's expertise and leadership, along with the continued support of the executive leadership team, Quorum Health is well positioned to achieve our mission of improving health in the communities we serve and our vision to build sustainable health care organizations.
"As we welcome Stu, we thank Dan for his many contributions over the last two years — both on the board and with the leadership team — and wish him the very best in his next chapter."
About Quorum Health
Quorum Health is a leading operator of general acute care hospitals and outpatient services in the U.S. Through its subsidiaries, the company owns, leases, or operates a diversified portfolio of 21 affiliated hospitals in rural and mid-sized markets across 13 states with an aggregate of 1,817 licensed beds. Through its network of affiliated hospitals, physician practices and healthcare providers, the company is focused on future strategic growth and investment with the goal of expanding its footprint and addressing the critical healthcare of patients in their local communities.
For more information:
Quorum Health
Lisa Anderson, VP Corporate Communications
615-221-3793
LAnderson@qhcus.com
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SOURCE Quorum Health | https://www.whsv.com/prnewswire/2022/04/27/quorum-health-announces-leadership-change/ | 2022-04-27T20:58:16Z |
NEW YORK, April 27, 2022 /PRNewswire/ -- Ready Capital Corporation (NYSE: RC) (the "Company") today announced that the Company will release its first quarter 2022 financial results after the New York Stock Exchange closes on Thursday, May 5, 2022. Management will host a webcast and conference call on Friday, May 6, 2022 at 8:30 a.m. Eastern Time to provide a general business update and discuss the financial results for the quarter ended March 31, 2021.
Webcast:
The Company encourages use of the webcast due to potential extended wait times to access the conference call via dial-in. The webcast of the conference call will be available in the Investor Relations section of the Company's website at www.readycapital.com. To listen to a live broadcast, go to the site at least 15 minutes prior to the scheduled start time in order to register, download and install any necessary audio software.
Dial in:
The conference call can be accessed by dialing 844-825-9789 (domestic) or 412-317-5180 (international).
Replay:
A replay of the call will also be available on the Company's website approximately two hours after the live call through May 20, 2022. To access the replay, dial 844-512-2921 (domestic) or 412-317-6671 (international). The replay pin number is 10166523.
About Ready Capital Corporation
Ready Capital Corporation (NYSE: RC) is a multi-strategy real estate finance company that originates, acquires, finances and services small- to medium-sized balance commercial loans. Ready Capital specializes in loans backed by commercial real estate, including agency multifamily, investor and bridge as well as U.S. Small Business Administration loans under its Section 7(a) program. Headquartered in New York, New York, Ready Capital employs over 600 lending professionals nationwide.
Contact
Investor Relations
Ready Capital Corporation
212-257-4666
InvestorRelations@readycapital.com
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NEW YORK, April 27, 2022 /PRNewswire/ -- Redwoods Acquisition Corp. ("RWOD") announced today that, commencing April 29, 2022, holders of the units sold in the Company's initial public offering completed on April 4, 2022 may elect to separately trade the shares of common stock of RWOD, and the warrants and rights included in such units on The Nasdaq Global Market ("Nasdaq").
The shares of common stock, warrants and rights that are separated will trade on Nasdaq under the symbols "RWOD," "RWODW" and "RWODR," respectively. Those units not separated will continue to trade on Nasdaq under the symbol "RWODU." Holders of units will need to have their brokers contact Continental Stock Transfer & Trust Company, RWOD's transfer agent, in order to separate the units into shares of common stock, warrants and rights.
The units were initially offered by RWOD in an underwritten offering. Chardan acted as sole book-running manager of the offering. A registration statement relating to these securities was declared effective by the U.S. Securities and Exchange Commission (the "SEC") on March 30, 2022. The offering was made only by means of a prospectus, copies of which may be obtained by contacting Chardan, 17 State Street, 21st Floor, New York, New York 10004, or by calling (646) 465-9001. Copies of the registration statement can be accessed through the SEC's website at www.sec.gov.
This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
About Redwoods Acquisition Corp.
RWOD is led by founder Jiande Chen (CEO). RWOD is a blank check company formed for the purpose of effecting a merger, share exchange, asset acquisition, stock purchase, recapitalization, reorganization or similar business combination with one or more businesses. Although there is no restriction or limitation on what industry or geographic region its target operates in, RWOD intends to focus on the carbon neutral and energy storage industries. The proceeds of the offering will be used to fund such business combination.
Cautionary Note Concerning Forward-Looking Statements
This press release includes forward-looking statements that involve risks and uncertainties. Forward looking statements are statements that are not historical facts. Such forward-looking statements, including with respect to the anticipated use of the proceeds from the Company's initial public offering and the Company's search for an initial business combination, are subject to risks and uncertainties, which could cause actual results to differ from the forward-looking statements. RWOD expressly disclaims any obligations or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in RWOD's expectations with respect thereto or any change in events, conditions or circumstances on which any statement is based.
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BELOIT, Wis., April 27, 2022 /PRNewswire/ -- Regal Rexnord Corporation (NYSE: RRX)
First Quarter Highlights
- Sales Up 60% Versus PY And Up 15% On An Organic Basis
- Daily Orders Up 10% In 1Q Versus PY On A Pro Forma Basis
- Adjusted Gross Margin Up 280 Basis Points Versus PY Despite Sizable Inflationary & Supply Chain Pressures; Price/Cost Remained Positive
- Adjusted EBITDA Margin* Up 250 Basis Points To 21.4%
- Adjusted Diluted EPS* Of $2.68 Up 15% Versus PY; GAAP Diluted EPS Of $1.85 Versus $1.68 In PY
- Synergies From Rexnord PMC And Arrowhead Systems Transactions On Track To Slightly Ahead
- Raising 2022 Adjusted Diluted EPS Guidance Range To $10.10 To $10.70 From Prior Range Of $10.00 To $10.60 And Revising GAAP EPS Guidance Range To $6.90 To $7.50 From $6.95 To $7.55
- Repurchased $114M of RRX Shares
- Raised Quarterly Dividend In April By 6% To $0.35
CEO Louis Pinkham commented, "I am extremely pleased with our strong 1Q performance, delivered despite confronting a host of external pressures. To start, the team achieved 15% organic sales growth, which I am confident reflects differentiated performance as our superior service levels, digital investments, and growing pipeline of new, and often more energy-efficient products and solutions, are absolutely helping Regal Rexnord win in the markets we serve. We also continued to raise our margins, posting a gross margin up 280 basis points and an adjusted EBITDA margin up 250 basis points versus prior year levels, both aided by the enterprise remaining price/cost positive."
"I attribute this strong performance to our Regal Rexnord team's disciplined execution. In fact, our operating mantra has become disciplined people, leveraging disciplined thinking, to take disciplined actions. This mindset was apparent in our 1Q results, and it underpins the momentum we have looking ahead to the remainder of 2022 and into the coming years."
"Indeed, our Regal Rexnord leadership team is excited to share a lot more about the strong momentum and tremendous opportunities we see for the business at an Investor Day we plan to host in person this September in New York. We expect key themes to include our actions to accelerate above-market growth, including mixing up our portfolio to markets with secular growth, a still-sizable margin expansion story, significant – and improving – cash generation potential, improved vitality of new products focused on energy efficiency, and what we believe can be a large and differentiated capital deployment opportunity. Stay tuned for more details on the event in the coming months."
Mr. Pinkham went on to comment, "As excited as I am about our recent performance and future prospects, I would be remiss if I did not explicitly acknowledge some of the challenges our team is facing on a daily basis. The supply chain remains incredibly complicated. Inflation on key commodities continues to be significant. And the situation in Ukraine is not only saddening, but raises myriad, and still-developing, risks to the global economic outlook. Despite these challenges, our team will continue to manage as they have been – focusing on controllable execution, leveraging our flexible global manufacturing footprint and embracing an 80/20 mindset – while always adhering to our Regal Rexnord Values. The future is bright!"
*Non-GAAP Financial Measurement, See Appendix for Reconciliation
FIFO Accounting Change
Effective January 1, 2022, the Company changed its accounting methodology for certain inventories from a last-in, first-out ("LIFO") basis to a first-in, first-out ("FIFO") basis. Prior to making this change, as of the year-ended January 1, 2022, 48.5% of the Company's inventory was accounted for under the LIFO method, with all other inventories (including all items outside of the US) accounted for under the FIFO method.
In addition to the benefits of simplicity and consistency gained by aligning around one method, the Company believes that, among other benefits, the FIFO method currently and in the future will provide a better matching of revenue and expense.
All prior periods presented have been retrospectively adjusted to apply the effects of this change.
Guidance Update
The Company continues to expect 2022 revenue of approximately $5.2 Billion.
The Company is raising its 2022 annual guidance for adjusted earnings per share to a range of $10.10 to $10.70 from a range of $10.00 to $10.60, and revising its GAAP earnings per share to a range of $6.90 to $7.50 from a range of $6.95 to $7.55.
Segment Performance
First quarter 2022 segment results versus the prior year:
- Motion Control Solutions segment net sales were $586.6 million, an increase of 191.0%, or 9.9% on an organic basis. Primary drivers included the merger with Rexnord PMC, the acquisition of Arrowhead Systems and, on an organic basis, broad-based growth, with particular strength in the general industrial, forestry and agriculture end markets, partially offset by lapping prior year large project activity in the aerospace and wind markets. Adjusted EBITDA margin was 24.8% of adjusted net sales*.
- Climate Solutions net sales were $273.9 million, an increase of 14.6%, or 14.9% on an organic basis. Primary drivers included strong growth in the North America residential HVAC business, in EMEA and in North America general industrial markets, in addition to healthy price realization. Notably, orders in the North America residential HVAC business were up 14% in the first quarter on a daily basis, driven by healthy underlying end market demand and market share gains. Adjusted EBITDA margin was 21.1% of adjusted net sales.
- Commercial Systems net sales were $293.3 million, an increase of 23.8%, or 24.8% on an organic basis. Primary drivers included end market strength and share gains in the North America general industrial market, share gains in pool pump, market strength and share gains in the global Commercial HVAC business and healthy price realization. Adjusted EBITDA margin was 21.1% of adjusted net sales.
- Industrial Systems net sales were $144.7 million, an increase of 6.1%, or 7.1% on an organic basis. Primary drivers included strength and outgrowth in Americas general industrial markets, and strong price realization, partially offset by weakness in Asia markets, excluding China. Adjusted EBITDA margin was 8.4% of adjusted net sales.
Regal Rexnord will hold a conference call to discuss this earnings release at 9:00 AM CT (10:00 AM ET) on Thursday, April 28, 2022. To listen to the live audio and view the presentation during the call, please visit Regal Rexnord's Investors website: https://investors.regalrexnord.com. To listen by phone or to ask the presenters a question, dial 1.888.317.6003 (U.S. callers) or +1.412.317.6061 (international callers) and enter 7442191# when prompted.
A webcast replay will be available at the link above, and a telephone replay will be available at 1.877.344.7529 (U.S. callers) or +1.412.317.0088 (international callers), using a replay access code of 4366397#. Both replays will be accessible for three months after the earnings call.
Regal Rexnord Corporation is a global leader in the engineering and manufacturing of industrial powertrain solutions, power transmission components, electric motors and electronic controls, air moving products and specialty electrical components and systems, serving customers around the world. Through longstanding technology leadership and an intentional focus on producing more energy-efficient products and systems, Regal Rexnord helps create a better tomorrow – for its customers and for the planet.
Regal Rexnord is comprised of four segments: Motion Control Solutions, Climate Solutions, Commercial Systems and Industrial Systems. Regal Rexnord is headquartered in Beloit, Wisconsin and has manufacturing, sales and service facilities worldwide. For more information, visit RegalRexnord.com.
This press release contains forward-looking statements, within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, which reflect Regal Rexnord's current estimates, expectations and projections about Regal Rexnord's future results, performance, prospects and opportunities. Such forward-looking statements may include, among other things, statements about the merger with the Rexnord Process & Motion Control business (the "Rexnord PMC business") or the acquisition of Arrowhead Systems, LLC ("Arrowhead"), the benefits and synergies of the transactions described in this communication relating to the acquisitions of the Rexnord PMC business and Arrowhead (the "Transactions"), future opportunities for Regal Rexnord, and any other statements regarding Regal Rexnord's future operations, anticipated business levels, future earnings, planned activities, anticipated growth, market opportunities, strategies, competition and other expectations and estimates for future periods. Forward-looking statements include statements that are not historical facts and can be identified by forward-looking words such as "anticipate," "believe," "confident," "estimate," "expect," "intend," "plan," "may," "will," "project," "forecast," "would," "could," "should," and similar expressions. These forward-looking statements are based upon information currently available to Regal Rexnord and are subject to a number of risks, uncertainties, and other factors that could cause actual results, performance, prospects or opportunities to differ materially from those expressed in, or implied by, these forward-looking statements. Important factors that could cause actual results to differ materially from the results referred to in the forward-looking statements Regal Rexnord makes in this release include: dependence on key suppliers and the potential effects of supply disruptions; fluctuations in commodity prices and raw material costs; any unforeseen changes to or the effects on liabilities, future capital expenditures, revenue, expenses, synergies, indebtedness, financial condition, losses and future prospects; the possibility that Regal Rexnord may be unable to achieve expected synergies and operating efficiencies in connection with the Transactions within the expected time-frames or at all and to successfully integrate the Rexnord PMC business and Arrowhead; expected or targeted future financial and operating performance and results; operating costs, customer loss and business disruption (including, without limitation, difficulties in maintaining relationships with employees, customers, clients or suppliers) being greater than expected following the Transactions; Regal Rexnord's ability to retain key executives and employees; the continued financial and operational impacts of and uncertainties relating to the COVID-19 pandemic on customers and suppliers and the geographies in which they operate; uncertainties regarding the ability to execute restructuring plans within expected costs and timing; challenges to the tax treatment that was elected with respect to the acquisition of the Rexnord PMC business and related transactions; requirements to abide by potentially significant restrictions with respect to the tax treatment of the Rexnord PMC business which could limit Regal Rexnord's ability to undertake certain corporate actions that otherwise could be advantageous; actions taken by competitors and their ability to effectively compete in the increasingly competitive global electric motor, drives and controls, power generation and power transmission industries; the ability to develop new products based on technological innovation, such as the Internet of Things, and marketplace acceptance of new and existing products, including products related to technology not yet adopted or utilized in geographic locations in which Regal Rexnord does business; dependence on significant customers; seasonal impact on sales of products into HVAC systems and other residential applications; risks associated with global manufacturing, including public health crises and political, societal or economic instability, including instability caused by the recent conflict between Russia and Ukraine; issues and costs arising from the integration of acquired companies and businesses and the timing and impact of purchase accounting adjustments; Regal Rexnord's overall debt levels and its ability to repay principal and interest on its outstanding debt; prolonged declines in one or more markets, such as heating, ventilation, air conditioning, refrigeration, power generation, oil and gas, unit material handling, water heating and aerospace; economic changes in global markets, such as reduced demand for products, currency exchange rates, inflation rates, interest rates, recession, government policies, including policy changes affecting taxation, trade, tariffs, immigration, customs, border actions and the like, and other external factors that Regal Rexnord cannot control; product liability, asbestos and other litigation, or claims by end users, government agencies or others that products or customers' applications failed to perform as anticipated, particularly in high volume applications or where such failures are alleged to be the cause of property or casualty claims; unanticipated liabilities of acquired businesses; unanticipated adverse effects or liabilities from business exits or divestitures; unanticipated costs or expenses that may be incurred related to product warranty issues; infringement of intellectual property by third parties, challenges to intellectual property, and claims of infringement on third party technologies; effects on earnings of any significant impairment of goodwill; losses from failures, breaches, attacks or disclosures involving information technology infrastructure and data; cyclical downturns affecting the global market for capital goods; and other risks and uncertainties including, but not limited, to those described in the section entitled "Risk Factors" in Regal Rexnord's Annual Report on Form 10-K on file with the SEC and from time to time in other filed reports including Regal Rexnord's Quarterly Reports on Form 10-Q. For a more detailed description of the risk factors associated with Regal Rexnord, please refer to Regal Rexnord's Annual Report on Form 10-K for the fiscal year ended January 1, 2022 on file with the SEC and subsequent SEC filings. Shareholders, potential investors, and other readers are urged to consider these factors in evaluating the forward-looking statements and are cautioned not to place undue reliance on such forward-looking statements. The forward-looking statements included in this release are made only as of the date of this release, and Regal Rexnord undertakes no obligation to update any forward-looking information contained in this release or with respect to the announcements described herein to reflect subsequent events or circumstances.
Non-GAAP Measures
(Unaudited)
(Dollars in Millions, Except per Share Data)
We prepare financial statements in accordance with accounting principles generally accepted in the United States of America ("GAAP"). We also periodically disclose certain financial measures in our quarterly earnings releases, on investor conference calls, and in investor presentations and similar events that may be considered "non-GAAP" financial measures. This additional information is not meant to be considered in isolation or as a substitute for our results of operations prepared and presented in accordance with GAAP.
In this earnings release, we disclose the following non-GAAP financial measures, and we reconcile these measures in the tables below to the most directly comparable GAAP financial measures: adjusted diluted earnings per share, adjusted income from operations, adjusted operating margin, adjusted net sales, net debt, adjusted EBITDA, adjusted EBITDA margin, adjusted bank EBITDA, adjusted net income attributable to Regal Rexnord Corporation, free cash flow, free cash flow as a percentage of adjusted net income attributable to Regal Rexnord Corporation, adjusted income before taxes, adjusted provision for income taxes, adjusted effective tax rate, net sales from ongoing business, adjusted income from operations of ongoing business, ongoing business adjusted operating margin and adjusted diluted earnings per share for ongoing business. We believe that these non-GAAP financial measures are useful measures for providing investors with additional information regarding our results of operations and for helping investors understand and compare our operating results across accounting periods and compared to our peers. Our management primarily uses adjusted income from operations, adjusted operating income, and adjusted operating margin to help us manage and evaluate our business and make operating decisions, while adjusted diluted earnings per share, net debt, adjusted EBITDA, adjusted EBITDA margin, adjusted net sales, adjusted net income attributable to Regal Rexnord Corporation, free cash flow, free cash flow as a percentage of adjusted net income attributable to Regal Rexnord Corporation, adjusted income before taxes, adjusted provision for income taxes, adjusted effective tax rate, net sales from ongoing business, adjusted income from operations of ongoing business, ongoing business adjusted operating margin and adjusted diluted earnings per share for ongoing business are primarily used to help us evaluate our business and forecast our future results. Accordingly, we believe disclosing and reconciling each of these measures helps investors evaluate our business in the same manner as management.
In addition to these non-GAAP measures, we use the term "organic sales growth" to refer to the increase in our sales between periods that is attributable to organic sales. "Organic sales" to refers to GAAP sales from existing operations excluding any sales from acquired businesses recorded prior to the first anniversary of the acquisition and excluding any sales from business divested/to be exited recorded prior to the first anniversary of the exit and excluding the impact of foreign currency translation. The impact of foreign currency translation is determined by translating the respective period's organic sales using the currency exchange rates that were in effect during the prior year periods.
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DENVER, April 27, 2022 /PRNewswire/ -- RE/MAX Holdings, Inc. (NYSE: RMAX), parent company of RE/MAX, one of the world's leading franchisors of real estate brokerage services, and of Motto Mortgage, the first and only national mortgage brokerage franchise brand in the U.S., announced today that its Board of Directors declared a quarterly cash dividend of $0.23 per share of Class A common stock.
The dividend is payable on May 25, 2022, to shareholders of record at the close of business on May 11, 2022.
About RE/MAX Holdings, Inc.
RE/MAX Holdings, Inc. (NYSE: RMAX) is one of the world's leading franchisors in the real estate industry, franchising real estate brokerages globally under the RE/MAX® brand, and mortgage brokerages within the U.S. under the Motto® Mortgage brand. RE/MAX was founded in 1973 by Dave and Gail Liniger, with an innovative, entrepreneurial culture affording its agents and franchisees the flexibility to operate their businesses with great independence. Now with more than 140,000 agents in almost 9,000 offices and a presence in more than 110 countries and territories, nobody in the world sells more real estate than RE/MAX, as measured by total residential transaction sides. Dedicated to innovation and change in the real estate industry, RE/MAX launched Motto Franchising, LLC, a ground-breaking mortgage brokerage franchisor, in 2016. Motto Mortgage has grown to over 175 offices across almost 40 states.
Forward-Looking Statements
This press release includes "forward-looking statements" within the meaning of the "safe harbor" provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements are often identified by the use of words such as "believe," "intend," "expect," "estimate," "plan," "outlook," "project," "anticipate," "may," "will," "would" and other similar words and expressions that predict or indicate future events or trends that are not statements of historical matters. Forward-looking statements include statements related to: dividends. Forward-looking statements should not be read as a guarantee of future performance or results and will not necessarily accurately indicate the times at which such performance or results may be achieved. Forward-looking statements are based on information available at the time those statements are made and/or management's good faith belief as of that time with respect to future events and are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in or suggested by the forward-looking statements. These risks and uncertainties include, without limitation, (1) the global COVID-19 pandemic, which poses significant and widespread risks to the Company's business, including the Company's agents, loan originators, franchisees and employees, as well as home buyers and sellers. (2) changes in the real estate market or interest rates and availability of financing, (3) changes in business and economic activity in general, (4) the Company's ability to attract and retain quality franchisees, (5) the Company's franchisees' ability to recruit and retain real estate agents and mortgage loan originators, (6) changes in laws and regulations, (7) the Company's ability to enhance, market, and protect the RE/MAX and Motto Mortgage brands, (8) the Company's ability to implement its technology initiatives, and (9) fluctuations in foreign currency exchange rates, and those risks and uncertainties described in the sections entitled "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" in the most recent Annual Report on Form 10-K and Quarterly Reports on Form 10-Q filed with the Securities and Exchange Commission ("SEC") and similar disclosures in subsequent periodic and current reports filed with the SEC, which are available on the investor relations page of the Company's website at www.remaxholdings.com and on the SEC website at www.sec.gov. Readers are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date on which they are made. Except as required by law, the Company does not intend, and undertakes no obligation, to update this information to reflect future events or circumstances.
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North American IP Optical Networks Sales Up 190% YOY
Projecting Strong Q2 Sequential Total Company Revenue Growth
PLANO, Texas, April 27, 2022 /PRNewswire/ -- Ribbon Communications Inc. (Nasdaq: RBBN), a global provider of real time communications technology and IP optical networking solutions to many of the world's largest service providers, enterprises, and critical infrastructure operators to modernize and protect their networks, today announced its financial results for the first quarter of 2022.
Revenue for the first quarter of 2022 was $173 million, compared to $193 million for the first quarter of 2021. Product and service bookings-to-revenue was 1.20x in the first quarter of 2022, with IP Optical Networks at 1.27x.
"The Ribbon team delivered financial results directly in-line with our guidance for the quarter despite continued supply chain constraints. Our continued growth in IP Optical sales in North America, strong RFP activity, and new product pipeline provide confidence that our financial performance will continue to improve throughout the year," noted Bruce McClelland, President and Chief Executive Officer of Ribbon Communications.
McClelland continued, "The increased investment we are making in product development is accelerating the pace of new product and service introductions in order to deliver on our strategy to generate both near-term and longer-term revenue growth. Partnerships such as our recent Cloud & Edge announcement with Microsoft to accelerate deployment of Teams further differentiate our solutions and expand our market reach."
Cash, cash equivalents and restricted cash totaled $95 million at March 31, 2022, compared with $106 million at December 31, 2021 and $109 million at March 31, 2021. The GAAP net loss of $70 million in the first quarter of 2022 includes a $27 million non-cash loss associated with the quarterly mark-to-market of our investment in AVCT from the Kandy Sale.
"In the first quarter of 2022, we had good cash flow from operations enabling an additional term loan payment of $15 million. We expect sequential improvement in both revenue and margin this quarter and further improvement in the second half of this year," said Mick Lopez, Chief Financial Officer of Ribbon Communications.
The Company's outlook is based on current indications for its business, which are subject to change. For the second quarter of 2022, the Company projects revenue of $200 million to $215 million, non-GAAP gross margin of 53.5% to 54.5%, non-GAAP diluted earnings per share of $0.03 to $0.06, and Adjusted EBITDA of $17 million to $23 million. For the full year 2022, the Company's guidance remains unchanged.
- May 10, 2022 – Oppenheimer Emerging Growth Conference (virtual one-on-one institutional investor meetings).
- May 26, 2022 – B. Riley Securities Annual Institutional Investor Conference (one-on-one institutional investor meetings).
- June 1-2, 2022 – Cowen 50th Annual Technology, Media & Telecom Conference (presentation and one-on-one institutional investor meetings).
Ribbon Communications (Nasdaq: RBBN) delivers communications software, IP and optical networking solutions to service providers, enterprises and critical infrastructure sectors globally. We engage deeply with our customers, helping them modernize their networks for improved competitive positioning and business outcomes in today's smart, always-on and data-hungry world. Our innovative, end-to-end solutions portfolio delivers unparalleled scale, performance, and agility, including core to edge software-centric solutions, cloud-native offers, leading-edge security and analytics tools, along with IP and optical networking solutions for 5G. We maintain a keen focus on our commitments to Environmental, Social and Governance (ESG) matters, offering an annual Sustainability Report to our stakeholders. To learn more about Ribbon visit rbbn.com.
The information in this release contains "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, which are subject to a number of risks and uncertainties. All statements other than statements of historical facts contained in this release, including without limitation statements regarding the Company's projected financial results for the second quarter 2022 and beyond; customer engagement and momentum; plans and objectives for future operations; and plans for future product development and manufacturing, are forward-looking statements. Without limiting the foregoing, the words "believes", "estimates", "expects", "expectations", "intends", "may", "plans", "projects" and other similar language, are intended to identify forward-looking statements.
Forward-looking statements are based on the Company's current expectations and assumptions regarding its business, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. Actual results may differ materially from those contemplated in these forward-looking statements due to various risks, uncertainties and other important factors, including, among others, risks related to supply chain disruptions resulting from component availability; the effects of geopolitical instabilities and disputes, including between Russia and Ukraine and the impact of sanctions imposed as a result thereof; risks related to the continuing COVID-19 pandemic, including delays in customer deployments as a result of rises in cases; risks that the Company will not realize the anticipated benefits from the acquisition of ECI Telecom Group Ltd.; risks that the Company will not realize the estimated cost savings and/or anticipated benefits from its strategic restructuring; the impact of restructuring and cost-containment activities; declines in the value of the Company's ongoing investment in AVCT, the purchaser of the Company's Kandy Communications business ; unpredictable fluctuations in quarterly revenue and operating results; risks related to the terms of the Company's credit agreement including compliance with the financial covenants; risks related to cybersecurity and data intrusion; failure to compete successfully against telecommunications equipment and networking companies; failure to grow the Company's customer base or generate recurring business from existing customers; credit risks; the timing of customer purchasing decisions and the Company's recognition of revenues; macroeconomic conditions; litigation; market acceptance of the Company's products and services; rapid technological and market change; the ability to protect Company intellectual property rights and obtain necessary licenses; the ability to maintain partner, reseller, distribution and vendor support and supply relationships; the potential for defects in the Company's products; increases in tariffs, trade restrictions or taxes on the Company's products; and currency fluctuations.
These factors are not intended to be an all-encompassing list of risks and uncertainties that may affect the Company's business and results from operations. Additional information regarding these and other factors can be found in the Company's reports filed with the Securities and Exchange Commission, including, without limitation, its Form 10-K for the year ended December 31, 2021. In providing forward-looking statements, the Company expressly disclaims any obligation to update these statements publicly or otherwise, whether as a result of new information, future events or otherwise, except as required by law.
The Company's management uses several different financial measures, both GAAP and non-GAAP, in analyzing and assessing the overall performance of its business, making operating decisions, planning and forecasting future periods, and determining payments under compensation programs. The Company considers the use of non-GAAP financial measures helpful in assessing the core performance of its continuing operations and when planning and forecasting future periods. The Company's annual financial plan is prepared on a non-GAAP basis and is approved by its board of directors. In addition, budgeting and forecasting for revenue and expenses are conducted on a non-GAAP basis, and actual results on a non-GAAP basis are assessed against the annual financial plan. The Company defines continuing operations as the ongoing results of its business adjusted for certain expenses and credits, as described below. The Company believes that providing non-GAAP information to investors will allow investors to view the financial results in the way its management views them and helps investors to better understand the Company's core financial and operating performance and evaluate the efficacy of the methodology and information used by its management to evaluate and measure such performance.
While the Company's management uses non-GAAP financial measures as tools to enhance its understanding of certain aspects of the Company's financial performance, its management does not consider these measures to be a substitute for, or superior to, GAAP measures. In addition, the Company's presentations of these measures may not be comparable to similarly titled measures used by other companies. These non-GAAP financial measures should not be considered alternatives for, or in isolation from, the financial information prepared and presented in accordance with GAAP. Investors are cautioned that there are material limitations associated with the use of non-GAAP financial measures. In particular, many of the adjustments to the Company's financial measures reflect the exclusion of items that are recurring and will be reflected in its financial results for the foreseeable future.
The expense related to stock-based awards is generally not controllable in the short-term and can vary significantly based on the timing, size and nature of awards granted. The Company believes that presenting non-GAAP operating results that exclude stock-based compensation provides investors with visibility and insight into its management's method of analysis and its core operating performance.
Amortization amounts are inconsistent in frequency and amount and are significantly impacted by the timing and size of acquisitions. Amortization of acquired technology is reported separately within Cost of revenue and Amortization of acquired intangible assets is reported separately within Operating expenses. These items are reported collectively as Amortization of acquired intangible assets in the accompanying reconciliations of non-GAAP and GAAP financial measures. The Company believes that excluding non-cash amortization of these intangible assets facilitates the comparison of its financial results to its historical operating results and to other companies in its industry as if the acquired intangible assets had been developed internally rather than acquired.
The Company performs its annual testing for impairment of goodwill in the fourth quarter each year. For the purpose of testing goodwill for impairment, all goodwill has been assigned to one of the Company's two operating segments. The Company performs a fair value analysis using both an income and market approach, which encompasses a discounted cash flow analysis and a guideline public company analysis using selected multiples. Based on the results of its recently completed impairment test, the Company determined that the carrying value of its IP Optical Networks segment exceeded its fair value, and accordingly, recorded a non-cash impairment charge of $116 million in the fourth quarter of 2021. There was no impairment of the Company's Cloud and Edge segment. The Company believes that such non-cash costs are not part of its core business or ongoing operations. Accordingly, the Company believes that excluding the goodwill impairment charge facilitates the comparison of the Company's financial results to its historical operating results and to other companies in its industry.
The Company considers certain acquisition-, disposal- and integration-related costs to be unrelated to the organic continuing operations of its acquired businesses and the Company. Such costs are generally not relevant to assessing or estimating the long-term performance of the acquired assets. The Company excludes such acquisition-, disposal- and integration-related costs to allow more accurate comparisons of its financial results to its historical operations and the financial results of less acquisitive peer companies and allows management and investors to consider the ongoing operations of the business both with and without such expenses.
The Company has recorded restructuring and related expense to streamline operations and reduce operating costs by closing and consolidating certain facilities and reducing its worldwide workforce. The Company believes that excluding restructuring and related expense facilitates the comparison of its financial results to its historical operating results and to other companies in its industry, as there are no future revenue streams or other benefits associated with these costs.
The Company recorded paid-in-kind interest income on the AVCT Series A-1 convertible debentures (the "Debentures") it received as consideration in connection with the Kandy Sale through September 8, 2021, when the Debentures were converted to shares of AVCT common stock (the "Debenture Shares"), which increased their fair value. The Company excludes this interest income because it believes that such a gain is not part of its core business or ongoing operations.
The Company calculates the fair values of the Debentures and the warrants to purchase shares of AVCT common stock (the "Warrants") it received as consideration in connection with the Kandy Sale (prior to September 8, 2021) and the Debenture Shares and Warrants (effective September 8, 2021) at each quarter-end and records any adjustments to their fair values in Other expense, net. The Company excludes these and any subsequent gains and losses from the change in fair value of this investment because it believes that such gains or losses are not part of its core business or ongoing operations.
The Non-GAAP income tax benefit (provision) is presented based on an estimated tax rate applied against forecasted annual non-GAAP income. The Non-GAAP income tax benefit (provision) assumes no available net operating losses or valuation allowances for the U.S. because of reporting significant cumulative non-GAAP income over the past several years. The Company is reporting its non-GAAP quarterly income taxes by computing an annual rate for the Company and applying that single rate (rather than multiple rates by jurisdiction) to its consolidated quarterly results. The Company expects that this methodology will provide a consistent rate throughout the year and allow investors to better understand the impact of income taxes on its results. Due to the methodology applied to its estimated annual tax rate, the Company's estimated tax rate on non-GAAP income will differ from its GAAP tax rate and from its actual tax liabilities.
The Company uses Adjusted EBITDA as a supplemental measure to review and assess its performance. The Company calculates Adjusted EBITDA by excluding from loss from operations: depreciation; amortization of acquired intangible assets; stock-based compensation; impairment of goodwill; acquisition-, disposal- and integration-related expense; and restructuring and related expense. In general, the Company excludes the expenses that considers to be non-cash and/or not part of its ongoing operations. The Company may exclude other items in the future that have those characteristics. Adjusted EBITDA is a non-GAAP financial measure that is used by the investing community for comparative and valuation purposes. The Company discloses this metric to support and facilitate dialogue with research analysts and investors. Other companies may calculate Adjusted EBITDA differently than the Company does, limiting its usefulness as a comparative measure.
Conference call to discuss the Company's financial results for the first quarter ended March 31, 2022 on April 27, 2022, via the investor section of its website at investors.ribboncommunications.com, where a replay will also be available shortly following the conference call.
Date: April 27, 2022
Time: 4:30 p.m. (ET)
Dial-in number (USA): 877-407-2991
Dial-in number (Intl): 201-389-0925
Instant Telephone Access: Call me™
A telephone playback of the call will be available following the conference call until May 11, 2022 and can be accessed by calling 877-660-6853 or 201-612-7415 for international callers. The reservation number for the replay is 13727656.
Investor Relations
+1 (978) 614-8050
ir@rbbn.com
North American Press
Dennis Watson
+1 (214) 695-2224
dwatson@rbbn.com
APAC, CALA & EMEA Press
Catherine Berthier
+1 (646) 741-1974
cberthier@rbbn.com
Analyst Relations
Michael Cooper
+1 (708) 212-6922
mcooper@rbbn.com
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Agreement extends Chrysler Capital relationship, reaffirming the mutually beneficial financing partnership
DALLAS, April 27, 2022 /PRNewswire/ -- Santander Consumer USA Holdings Inc. ("SC" or "the Company"), which does business as Chrysler Capital, today announced it has reached an agreement with FCA US LLC ("Stellantis") to amend and extend the Master Private Label Financing Agreement (the "Chrysler Agreement") through 2025. Under the Chrysler Agreement, which is nearing the end of its original 10-year term, SC has been the FCA US preferred provider for consumer loans, leases and dealer loans. This amendment extends the contract term through December 2025 and updates certain terms to allow SC to serve in a complementary role to Stellantis' recently launched captive finance company, Stellantis Financial Services US.
"Santander Consumer has served as the primary finance provider for Stellantis since 2013," said SC CEO Mahesh Aditya. "While Stellantis announced in 2021 the formation of its own captive finance arm, SC and Stellantis have continued to enjoy a mutually beneficial working relationship. We are pleased to formally extend our partnership and look forward to continuing to help Stellantis succeed."
"Santander Consumer has been a strong partner for Stellantis for many years," said Stellantis Chief Affiliates Officer Philippe de Rovira. "We are proud to have SC continue as a preferred partner, as we grow Stellantis Financial Services US into a full-service captive lender, offering a wide range of financing options to meet the needs of our customers."
About Santander Consumer USA Inc.
Santander Consumer USA Inc., headquartered in Dallas, Texas, is a full-service consumer finance company focused on vehicle finance, third-party servicing and delivering superior service to our more than 3 million customers across the full credit spectrum. SC, which began originating retail installment contracts in 1997, had an average managed asset portfolio of approximately $64 billion (for the fourth quarter ended December 31, 2021). The company is a wholly owned subsidiary of Santander Holdings USA, Inc., and is part of Madrid, Spain-based global banking leader Banco Santander. For more information about Santander Consumer USA, please visit www.santanderconsumerusa.com.
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RAMAT GAN, Israel, April 27, 2022 /PRNewswire/ -- Senstar Technologies (NASDAQ: SNT), a leading international provider of comprehensive physical, video, and access control security products and solutions, today announced the filing of its annual report on Form 20-F containing audited consolidated financial statements for the year ended December 31, 2021, with the U.S. Securities and Exchange Commission.
The annual report is available on the Company's website (www.senstartechnologies.com). Shareholders may receive a hard copy of the annual report free of charge upon request.
With innovative perimeter intrusion detection systems (including, buried sensors, and above-ground sensors), intelligent video-management, video analytics, and access control, Senstar offers a comprehensive suite of proven, integrated solutions that reduce complexity, improve performance, and unify support. For 40 years, Senstar has been safeguarding people, places, and property for organizations around the world, with a special focus in utilities, logistics, corrections, and energy markets.
For more information, visit the Company's website at www.senstartechnologies.com.
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NEW YORK, April 27, 2022 /PRNewswire/ --
If you own shares in any of the companies listed above and
would like to discuss our investigations or have any questions concerning
this notice or your rights or interests, please contact:
Joshua Rubin, Esq.
Weiss Law
305 Broadway, 7th Floor
New York, NY 10007
(212) 682-3025
(888) 593-4771
stockinfo@weisslawllp.com
SailPoint Technologies Holdings, Inc. (NYSE: SAIL) Weiss Law is investigating possible breaches of fiduciary duty and other violations of law by the board of directors of SailPoint Technologies Holdings, Inc. (NYSE: SAIL), in connection with the proposed acquisition of SAIL by Thoma Bravo. Under the terms of the merger agreement, SAIL shareholders will receive $65.25 in cash for each share of SAIL common stock owned. If you own SAIL shares and wish to discuss this investigation or your rights, please call us at one of the numbers listed above or visit our website: https://www.weisslaw.co/news-and-cases/sail
Spirit Airlines, Inc. (NYSE: SAVE) Weiss Law is investigating possible breaches of fiduciary duty and other violations of law by the board of directors of Spirit Airlines, Inc. (NYSE: SAVE), in connection with the proposed merger of SAVE with Frontier Group Holdings, Inc. ("Frontier"). Under the terms of the merger agreement, SAVE's shareholders will receive 1.9126 shares of Frontier plus $2.13 in cash for each share of SAVE common stock owned, representing implied per-share merger consideration of approximately $22.84 based upon Frontier's April 26, 2022 closing price of $10.83. If you own SAVE shares and wish to discuss this investigation or your rights, please call us at one of the numbers listed above or visit our website: https://www.weisslaw.co/news-and-cases/save
Exterran Corporation (NYSE: EXTN)
Weiss Law is investigating possible breaches of fiduciary duty and other violations of law by the board of directors of Exterran Corporation (NYSE: EXTN) in connection with the proposed merger of EXTN with Enerflex Ltd. ("Enerflex"). Under the terms of the merger agreement, EXTN shareholders will receive 1.021 shares of Enerflex common stock for each share of EXTN common stock owned. If you own EXTN shares and wish to discuss this investigation or your rights, please call us at one of the numbers listed above or visit our website: https://www.weisslaw.co/news-and-cases/extn
Antares Pharma, Inc. (NASDAQ: ATRS) Weiss Law is investigating possible breaches of fiduciary duty and other violations of law by the board of directors of Antares Pharma, Inc. (NASDAQ: ATRS), in connection with the proposed acquisition of ATRS by Halozyme Therapeutics, Inc. via a tender offer. Under the terms of the merger agreement, ATRS shareholders will receive $5.60 in cash for each share of ATRS common stock owned. If you own ATRS shares and wish to discuss this investigation or your rights, please call us at one of the numbers listed above or visit our website: https://www.weisslaw.co/news-and-cases/atrs
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- Total revenues of $852.9 million ($815.0 million on an adjusted basis) compared to $688.6 million ($685.3 million on an adjusted basis) in the prior year quarter
- Net income of $57.9 million ($55.8 million on an adjusted basis) compared to $54.2 million ($51.7 million on an adjusted basis) in the prior year quarter
- Diluted EPS of $2.11 ($2.03 on an adjusted basis) compared to prior year quarter diluted EPS of $2.01 ($1.92 on an adjusted basis)
HOUSTON, April 27, 2022 /PRNewswire/ -- Stewart Information Services Corporation (NYSE: STC) today reported net income attributable to Stewart for the first quarter 2022 of $57.9 million ($2.11 per diluted share), compared to net income attributable to Stewart of $54.2 million ($2.01 per diluted share) for the first quarter 2021. On an adjusted basis, Stewart's first quarter 2022 net income was $55.8 million ($2.03 per diluted share), an improvement of $4.1 million, or 8 percent, from the first quarter 2021. First quarter 2022 pretax income before noncontrolling interests was $79.6 million ($76.9 million on adjusted basis) compared to pretax income before noncontrolling interests of $74.0 million for the first quarter 2021.
First quarter 2022 results included $4.1 million of pretax net realized and unrealized gains, which included $2.7 million of net unrealized gains on fair value changes of equity securities investments. First quarter 2021 results included $3.3 million of pretax net realized and unrealized gains, primarily related to net unrealized gains on fair value changes of equity securities investments.
"I am pleased with the results we delivered in the first quarter 2022 in a rising interest rate environment," commented Fred Eppinger, chief executive officer. "Stewart's results this quarter demonstrate the significant structural progress we have made in improving our performance and making us a resilient company that can perform throughout the cycle. We remain optimistic on both the operating structure we continue to build as well as the long-term opportunity the market offers us given strong underlying demographic trends."
Selected Financial Information
Summary results of operations are as follows (dollars in millions, except per share amounts, and amounts may not foot as presented due to rounding):
Title Segment
Summary results of the title segment are as follows (dollars in millions, except pretax margin):
Title segment's pretax income in the first quarter 2022 increased by $5.7 million compared to the first quarter 2021, while pretax margin was 11.4 percent in the first quarter 2022 compared to 12.2 percent in the prior year quarter. Title operating revenues in the first quarter 2022 improved $96.5 million, or 15 percent, as a result of revenue increases in direct title operations of $38.3 million, or 14 percent, and agency operations of $58.2 million, or 17 percent. Overall segment operating expenses in the first quarter 2022 increased $91.1 million, or 16 percent, primarily driven by 17 percent increases in both agency retention expenses and combined title employee costs and other operating expenses, compared to the prior year quarter. Average independent agency remittance rate in the first quarter 2022 was 18.1 percent, compared to 17.9 percent in the prior year quarter. As a percentage of title revenues, combined title employee costs and other operating expenses was 38.8 percent in the first quarter 2022 compared to 38.1 percent in the first quarter 2021.
Title loss expense in the first quarter 2022 was $29.2 million, which was slightly higher than $28.8 million in the first quarter 2021, primarily due to higher title revenues which was partially offset by favorable claims experience. As a percentage of title revenues, the title loss expense in the first quarter 2022 was 4.0 percent compared to 4.6 percent in the prior year quarter.
The segment's net realized and unrealized gains in the first quarter 2022 primarily included $2.7 million of net unrealized gains on fair value changes of equity securities investments, while net realized and unrealized gains in the first quarter 2021 were also primarily related to net unrealized gains on fair value changes of equity securities investments. Investment income in the first quarter 2022 was slightly lower compared to the prior year quarter, primarily due to the higher mix of lower interest rate investments in the first quarter 2022.
Direct title revenues information is presented below (dollars in millions):
Total non-commercial revenues increased $6.9 million, or 3 percent, while total commercial revenues increased $31.4 million, or 90 percent, in the first quarter 2022 compared to the prior year quarter. Non-commercial revenues increased primarily due to improved residential purchase transactions and scale, partially offset by lower refinancing transactions in the first quarter 2022. Domestic commercial revenues increased $27.2 million, or 93 percent, in the first quarter 2022, primarily due to improved commercial transaction size and volume compared to the prior year quarter. Domestic commercial and residential fees per file in the first quarter 2022 were approximately $12,700 and $2,600, respectively, which were 47 percent and 37 percent, respectively, higher compared to the first quarter 2021. Total international revenues in the first quarter 2022 improved by $6.9 million, or 20 percent, primarily as a result of increased transaction volumes in our Canadian operations compared to the prior year quarter.
Real Estate Solutions Segment
Summary results of the real estate solutions segment are as follows (dollars in millions):
The segment's pretax income improved to $6.8 million in the first quarter 2022 compared to $2.7 million in the prior year quarter, primarily due to higher operating revenues resulting from recent acquisitions. Total segment operating expenses increased $29.3 million, or 55 percent, primarily due to acquisitions and higher purchased intangible amortization expenses in the first quarter 2022 compared to the prior year quarter. Total intangible amortization expenses in the first quarters 2022 and 2021 were $6.4 million and $1.7 million, respectively.
Corporate and Other Segment
Summary results of the corporate and other segment are as follows (dollars in millions):
Segment operating revenues in the first quarter 2022 were related to a recently acquired real estate brokerage company, which was subsequently sold in the second quarter 2022. Net expenses attributable to corporate operations in the first quarter 2022 increased to $8.9 million compared to $5.8 million in the prior year quarter, primarily due to increased interest expense resulting from our recently issued debt. Excluding the impact of the recently sold real estate brokerage company, the segment's pretax loss this quarter would have been $8.6 million.
Expenses
Consolidated employee costs in the first quarter 2022 increased $35.6 million, or 21 percent, compared to the first quarter 2021, primarily due to increased salaries and employee benefits, resulting from a 23 percent higher average employee count influenced by acquisitions. As a percentage of total operating revenues, consolidated employee costs for the first quarter 2022 improved to 24.3 percent compared to 24.9 percent in the prior year quarter.
Total other operating expenses in the first quarter 2022 increased $64.3 million, or 51 percent, compared to the prior year quarter. This increase was primarily driven by higher service expenses tied to increased revenues from real estate solutions operations, and increased outside title search and premium tax expenses on higher title revenues. As a percentage of total operating revenues, consolidated other operating expenses for the first quarter 2022 increased to 22.5 percent compared to 18.4 percent in the first quarter 2021, primarily due to the increased size of our real estate solutions and other real estate services operations which typically have higher other operating expenses.
Other
Net cash provided by operations in the first quarter 2022 was $34.9 million, compared to net cash provided by operations of $47.4 million in the first quarter 2021, primarily due to higher payment of operating liabilities outstanding at the prior year-end, partially offset by a higher net income in the first quarter 2022.
First Quarter Earnings Call
Stewart will hold a conference call to discuss the first quarter 2022 earnings at 8:30 a.m. Eastern Time on Thursday, April 28, 2022. To participate, dial (888) 632-3382 (USA) or (203) 518-9544 (International) - access code STCQ122. Additionally, participants can listen to the conference call through Stewart's Investor Relations website at http://investors.stewart.com/news-and-events/events/default.aspx. The conference call replay will be available from 11:00 a.m. Eastern Time on April 28, 2022 until midnight on May 5, 2022, by dialing (888) 562-0902 or (402) 220-7344 (International) - the access code is also STCQ122.
About Stewart
Stewart (NYSE:STC) is a global real estate services company, offering products and services through our direct operations, network of Stewart Trusted Providers™ and family of companies. From residential and commercial title insurance and closing and settlement services to specialized offerings for the mortgage industry, we offer the comprehensive service, deep expertise and solutions our customers need for any real estate transaction. More information can be found at http://www.stewart.com, subscribe to the Stewart blog at http://blog.stewart.com or follow Stewart on Twitter® @stewarttitleco.
Cautionary statement regarding forward-looking statements. Certain statements in this earnings release are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, as amended. Such forward-looking statements relate to future, not past, events and often address our expected future business and financial performance. These statements often contain words such as "may," "expect," "anticipate," "intend," "plan," "believe," "seek," "will," "foresee" or other similar words. Forward-looking statements by their nature are subject to various risks and uncertainties that could cause our actual results to be materially different than those expressed in the forward-looking statements. These risks and uncertainties include, among other things, the volatility of economic conditions, including the duration and ultimate impact of the COVID-19 pandemic; adverse changes in the level of real estate activity; changes in mortgage interest rates, existing and new home sales, and availability of mortgage financing; our ability to respond to and implement technology changes, including the completion of the implementation of our enterprise systems; the impact of unanticipated title losses or the need to strengthen our policy loss reserves; any effect of title losses on our cash flows and financial condition; the ability to attract and retain highly productive sales associates; the impact of vetting our agency operations for quality and profitability; independent agency remittance rates; changes to the participants in the secondary mortgage market and the rate of refinancing that affects the demand for title insurance products; regulatory non-compliance, fraud or defalcations by our title insurance agencies or employees; our ability to timely and cost-effectively respond to significant industry changes and introduce new products and services; the outcome of pending litigation; the impact of changes in governmental and insurance regulations, including any future reductions in the pricing of title insurance products and services; our dependence on our operating subsidiaries as a source of cash flow; our ability to access the equity and debt financing markets when and if needed; our ability to grow our international operations; seasonality and weather; and our ability to respond to the actions of our competitors. These risks and uncertainties, as well as others, are discussed in more detail in our documents filed with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the year ended December 31, 2021, and if applicable, as supplemented by any risk factors contained in our Quarterly Reports on Form 10-Q, and our Current Reports on Form 8-K filed subsequently. All forward-looking statements included in this earnings release are expressly qualified in their entirety by such cautionary statements. We expressly disclaim any obligation to update, amend or clarify any forward-looking statements contained in this earnings release to reflect events or circumstances that may arise after the date hereof, except as may be required by applicable law.
ST-IR
Appendix A
Non-GAAP Adjustments
Management uses a variety of financial and operational measurements other than its financial statements prepared in accordance with United States Generally Accepted Accounting Principles (GAAP) to analyze its performance. These include: (1) adjusted revenues, which are reported revenues adjusted for the recently sold real estate brokerage company and any net realized and unrealized gains and losses, and (2) adjusted pretax income and adjusted net income, which are reported pretax income and reported net income after earnings from noncontrolling interests, respectively, adjusted for the recently sold real estate brokerage company, net realized and unrealized gains and losses and non-recurring expenses. Adjusted diluted earnings per share (adjusted diluted EPS) is calculated using adjusted net income divided by the diluted average weighted outstanding shares. Management views these measures as important performance measures of core profitability for its operations and as key components of its internal financial reporting. Management believes investors benefit from having access to the same financial measures that management uses.
Below is a reconciliation of the non-GAAP financial measurements used by management to the most directly comparable GAAP measures for the quarter ended March 31, 2022 and 2021 (dollars in millions, except share and per share amounts, and amounts may not foot as presented due to rounding).
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First U.S. based company to commercially offer this breakthrough alternative source of energy
WHIPPANY, N.J., April 27, 2022 /PRNewswire/ -- Suburban Propane Partners, L.P. (NYSE: SPH), a nationwide distributor of propane, renewable energy, and related products and services today announced the commercial launch of Propane+rDME. This exciting new product combines clean, versatile and abundantly available propane with the renewable, low carbon benefits of renewable dimethyl ether (rDME), produced by Oberon Fuels, to help create a pathway for lowering emissions to meet aggressive carbon reduction standards.
This innovative new product is the first commercially available blend of either traditional, or renewable propane, and rDME. The resulting blended alternative product has a lower carbon intensity and can be used as a drop-in replacement for propane engines in both on-road and off-road applications. The addition of rDME further enhances the clean air and low carbon benefits of the base fuel and allows customers to reduce their carbon footprint, while continuing to use their existing assets without the need for additional investments in equipment and infrastructure.
"At Suburban Propane, we seek out innovative solutions and investments to help lead the pathway toward a low carbon economy, and Propane+rDME is the next step in the evolution of clean alternative fuels," said Michael Stivala, President and CEO of Suburban Propane. "This low carbon energy source is just a stepping stone to a carbon-neutral, and even carbon negative, future for the propane industry. We are proud to partner with Oberon Fuels to see the culmination of our joint visions for providing solutions for a greener tomorrow. This exciting new product leverages Suburban Propane's significant infrastructure and more than 90-year legacy of safely delivering propane across the country, and Oberon's expertise as the only commercial producer of rDME in the United States."
"Blending renewable DME (rDME) with propane can reduce the emissions profile and fits readily with existing storage, transportation and fueling infrastructure," said Rebecca Boudreaux, Ph.D., President and CEO of Oberon. "Oberon's rDME is a straightforward and scalable way for propane distributors and their customers to become more sustainable and will lead to overall emissions reductions from the propane sector which is a critical step to meeting global climate commitments."
On April 27th, representatives from Suburban Propane invited elected officials and clean energy subject matter experts to its Placentia, CA Customer Service Center to celebrate the launch of the new Propane+rDME product with a ribbon cutting ceremony, brief speaking program, and facility tour to see the equipment used to blend propane and rDME.
Suburban Propane is committed to investing in, and fostering innovative solutions to support the economy-wide transition to a sustainable energy future through advancing the clean air and low-carbon benefits of: traditional and renewable propane; renewable dimethyl ether ("rDME"); and low-carbon intensity ("CI") blends of rDME, renewable propane and traditional propane. This launch is part of Suburban Propane's Go Green with Suburban Propane initiative promoting the clean and versatile nature of propane and renewable propane as a bridge to a green energy future and developing the next generation of renewable energy.
For more information, please visit www.suburbanpropane.com/rdme
About Suburban Propane
Suburban Propane Partners, L.P. is a publicly traded master limited partnership listed on the New York Stock Exchange under the ticker symbol SPH. Headquartered in Whippany, New Jersey, Suburban has been in the customer service business since 1928 and is a nationwide distributor of propane, renewable propane, fuel oil and related products and services, as well as a marketer of natural gas and electricity and an investor in low-carbon fuel alternatives. The Partnership serves the energy needs of approximately 1 million residential, commercial, governmental, industrial and agricultural customers through approximately 700 locations across 42 states. The Partnership is supported by three core pillars: (1) Suburban Commitment – showcasing the Partnership's 90+ year legacy, and ongoing commitment to the highest standards for dependability, flexibility, and reliability that underscores the Partnership's commitment to excellence in customer service; (2) SuburbanCares – highlighting the Partnership's continued dedication to giving back to local communities across the Partnership's national footprint and (3) Go Green with Suburban Propane - promoting the clean burning and versatile nature of propane and renewable propane as a bridge to a green energy future and developing the next generation of renewable energy. The Partnership acquired an approximate 3% equity stake in Oberon Fuels in September 2020.
For additional information on Suburban Propane, please visit www.suburbanpropane.com.
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Acquisition Expands Application Security Software-as-a-Service Capabilities
MOUNTAIN VIEW, Calif., April 27, 2022 /PRNewswire/ -- Synopsys, Inc. (NASDAQ: SNPS) today announced that it has signed a definitive agreement to acquire WhiteHat Security, a leading provider of application security Software-as-a-Service (SaaS). The addition of WhiteHat Security will provide Synopsys with significant SaaS capabilities and market-segment-leading dynamic application security testing (DAST) technology to strengthen what is considered one of the industry's broadest application security testing portfolio. Synopsys and WhiteHat Security, which was acquired by NTT Security Corporation in 2019, share a vision for delivering SaaS-based security testing solutions and building security into the software development lifecycle.
Under the terms of the transaction, Synopsys will pay approximately $330 million in cash. The transaction is subject to regulatory review and customary closing conditions and is expected to close in Synopsys' fiscal Q3 2022. Based on its preliminary review, Synopsys currently expects the acquisition to be roughly neutral to FY2022 non-GAAP earnings per share.
"WhiteHat Security helped pioneer SaaS delivery of application security testing and brings powerful technology and expertise into our application security portfolio," said Jason Schmitt, general manager of the Synopsys Software Integrity Group. "WhiteHat Security's DAST capabilities complement our strengths in static analysis, interactive analysis and software composition analysis, while their expertise in SaaS will accelerate our security testing SaaS capabilities. We are excited about the value this will create for our customers and welcome the WhiteHat Security team as they join us in our mission to build trust in the software that businesses depend on."
"We're thrilled to join forces with Synopsys in the next phase of our journey," said Craig Hinkley, chief executive officer of WhiteHat Security. "The combination of our respective strengths and our shared vision for the future of application security presents exciting opportunities for our customers and the broader market. We look forward to continuing to serve the loyal customers that have trusted WhiteHat Security for nearly 20 years and expanding our footprint as part of the larger Synopsys portfolio."
About the Synopsys Software Integrity Group
Synopsys Software Integrity Group provides integrated solutions that transform the way development teams build and deliver software, accelerating innovation while addressing business risk. Our portfolio of software security products and services is the most comprehensive in the world and interoperates with third-party and open source tools, allowing organizations to leverage existing investments to build the security program that's best for them. Only Synopsys offers everything you need to build trust in your software. Learn more at www.synopsys.com/software.
About Synopsys
Synopsys, Inc. (Nasdaq: SNPS) is the Silicon to Software™ partner for innovative companies developing the electronic products and software applications we rely on every day. As an S&P 500 company, Synopsys has a long history of being a global leader in electronic design automation (EDA) and semiconductor IP and offers the industry's broadest portfolio of application security testing tools and services. Whether you're a system-on-chip (SoC) designer creating advanced semiconductors, or a software developer writing more secure, high-quality code, Synopsys has the solutions needed to deliver innovative products. Learn more at www.synopsys.com
Forward-Looking Statements
This news release contains forward-looking statements, including, but not limited to, statements regarding the pending acquisition of WhiteHat Security, the parties' ability to close, the expected closing date of the transaction, and the expected benefits of the transaction. Forward-looking statements are subject to both known and unknown risks and uncertainties that may cause actual results to differ materially from those expressed or implied in the forward-looking statements. These risks and uncertainties include, among others: the ability of the parties to consummate the acquisition in a timely manner or at all, including due to obtaining regulatory approvals; the satisfaction of the conditions precedent to consummation of the acquisition; the effect of the announcement of the pending acquisition on Synopsys' and WhiteHat Security's respective businesses; Synopsys' ability to operate or integrate WhiteHat Security's assets and employees with its own successfully, which may include a potential loss of customers, key employees, partners or vendors; and uncertain customer demand and support obligations for SaaS and DAST solutions. Other risks and uncertainties that may apply are set forth in the Risk Factors section of Synopsys' most recently filed Quarterly Report on Form 10-Q. Synopsys assumes no obligation to update any forward-looking statement contained in this news release.
Editorial Contact:
Simone Souza
Synopsys, Inc.
650-584-6454
simone@synopsys.com
Investor Contact:
Lisa Ewbank
Synopsys, Inc.
650-584-1901
synopsys-ir@synopsys.com
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SOURCE Synopsys, Inc. | https://www.whsv.com/prnewswire/2022/04/27/synopsys-acquire-whitehat-security-ntt/ | 2022-04-27T20:59:33Z |
TriNet Webinar: California Employment Law Challenges to Keep Top of Mind and What's New in 2022
Published: Apr. 27, 2022 at 4:15 PM EDT|Updated: 44 minutes ago
A helpful discussion with Doug Riegelhuth, Vice President & AGC, Employment Law, TriNet and Von Boyenger, Senior Deputy Labor Commissioner, State of California
DUBLIN, Calif., April 27, 2022 /PRNewswire/ --
About TriNet
TriNet (NYSE: TNET) provides small and medium-size businesses (SMBs) with full-service HR solutions tailored by industry. To free SMBs from HR complexities, TriNet offers access to human capital expertise, benefits, risk mitigation and compliance, payroll, all enabled by industry leading technology capabilities. TriNet's suite of products also includes services and software-based solutions to help streamline workflows by connecting HR, Benefits, Employee Engagement, Payroll and Time & Attendance. From Main Street to Wall Street, TriNet empowers SMBs to focus on what matters most—growing their business and enabling their people. TriNet, incredible starts here. For more information, visit TriNet.com or follow us on Twitter.
The above press release was provided courtesy of PRNewswire. The views, opinions and statements in the press release are not endorsed by Gray Media Group nor do they necessarily state or reflect those of Gray Media Group, Inc. | https://www.whsv.com/prnewswire/2022/04/27/trinet-webinar-california-employment-law-challenges-keep-top-mind-whats-new-2022/ | 2022-04-27T20:59:40Z |
Solid first quarter results despite ongoing cost inflation and logistics challenges
Focused investments to further strengthen business model durability and long-term profitability
STAMFORD, Conn., April 27, 2022 /PRNewswire/ -- Tronox Holdings plc (NYSE:TROX) ("Tronox" or the "Company"), the world's leading integrated manufacturer of titanium dioxide ("TiO2") pigment, today reported its financial results for the quarter ending March 31, 2022, as follows:
First Quarter 2022 Financial Highlights:
- Produced revenue of $965 million, an increase of 8% compared to the prior year, primarily driven by higher revenue from TiO2 and pig iron
- Generated income from operations of $69 million and net income of $16 million, inclusive of a one-time fee regarding the settlement agreement reached with Venator totaling $85 million including the break fee and related negotiated interest
- Achieved GAAP diluted EPS of $0.10; adjusted diluted EPS of $0.60 (non-GAAP) primarily due to the settlement
- Delivered Adjusted EBITDA of $240 million, within the guided range, and an Adjusted EBITDA margin of 24.9%
- Invested $103 million in capital expenditures and generated free cash flow of $86 million
- Reaffirming 2022 Adjusted EBITDA and adjusted diluted EPS guidance; adjusting 2022 free cash flow lower largely to reflect the settlement
This outlook is based on Tronox's current views on current global economic activity and is subject to changes and impacts associated with the ongoing pandemic, global supply chain, and inflation-related challenges, among others.
"Tronox delivered solid first quarter results and continued to serve our customers against a backdrop of higher costs and logistics constraints," commented John D. Romano, co-chief executive officer. "It is a testament to the dedication of our employees that we have continued to deliver results in line with our expectations while overcoming these ongoing challenges, so we thank the Tronox team for their commitment."
Mr. Romano continued, "Market demand remains sound across all products, though we continue to monitor Europe given the crisis in Ukraine. Our financial exposure is minimal, with less than 1% of our total revenue from Russia and Ukraine combined in 2021. More importantly, our hearts go out to those impacted by the conflict, and we offer our support to those who are affected.
"Our demand outlook for the year remains strong as TiO2 market tightness persists while inventories remain below seasonally normal levels, and similarly positive trends continue in the zircon and pig iron markets. While we experienced external challenges this quarter, Tronox remains well-positioned to continue to overcome adverse conditions. With our enterprise optimization model, we are able to optimize our global footprint, and we are investing to sustain our competitive advantage. We are focused on executing against our strategy to deliver safe, quality, low-cost, sustainable tons for our customers."
Jean-François Turgeon, co-chief executive officer, added, "We are committed to driving continued value creation through our capital allocation strategy. Our key capital projects, including newTRON and the mining development projects in Australia and South Africa, will unlock additional value from our vertically integrated business model and ensure we remain competitive across all economic scenarios while enabling improved return on capital. In the first quarter, after announcing the refinancing transaction that enabled the achievement of reaching our previous gross debt target, we repurchased approximately 1.4 million shares for a total of $25 million. We expect to continue share repurchases under the remaining $275 million program through February 2024 as cash generation permits. Additional debt reduction below our previous target of $2.5 billion will further strengthen our balance sheet and reduce interest costs. We look forward to sharing more details on our long-term strategy, outlook, and capital allocation priorities at our Investor Day on June 16, 2022."
The Company recorded first quarter revenue of $965 million, an increase of 8%, largely driven by higher revenue from TiO2 and pig iron. Revenue from TiO2 sales was $773 million, an increase of 11% driven by a 20% increase in average selling prices on a local currency basis, or an 18% increase on a US dollar basis, partially offset by a 6% decrease in volumes. Sequentially, TiO2 volumes increased 9%, in line with previously communicated expectations, driven by higher volumes across all regions, while average selling prices increased 6% on both a local currency and US dollar basis.
Zircon revenue decreased 12% to $108 million driven by a 38% decrease in volumes partially offset by a 43% increase in average selling prices. Sequentially, zircon volumes declined 20%, while average selling prices increased 14%. The volume decline on both a year-over-year and sequential basis are due to higher sales from inventory in previous quarters.
Revenue from other products was $84 million, representing a 17% increase, primarily due to higher pig iron volumes and average selling prices. Revenue declined 8% sequentially, primarily due to lower pig iron volume and average selling prices.
Net income attributable to Tronox in the quarter of $16 million included non-recurring items such as the settlement and a deferred tax benefit. Together, these totaled $80 million or $0.51 per diluted share. Excluding these items, adjusted net income attributable to Tronox (non-GAAP) was $96 million, or $0.60 per diluted share, an increase of 45% and 40%, respectively.
Adjusted EBITDA of $240 million represented an increase of 7% driven by higher pricing across all products and favorable exchange rates, partially offset by higher costs to serve our customers, increased commodity costs, impacts from the extended downtime at the Company's Stallingborough, U.K. TiO2 pigment plant, lower volumes and product mix. Adjusted EBITDA margin was 24.9% for the quarter.
Sequentially, Adjusted EBITDA improved 3% due to higher average selling prices and improved TiO2 volumes, partially offset by higher costs to serve our customers, increased commodity costs, impacts from the Stallingborough facility extended downtime, lower zircon volumes, product mix and unfavorable exchange rates.
The Company's selling, general and administrative expenses were $78 million in the quarter. The Company incurred an $85 million one-time fee related to the settlement, inclusive of the break fee and related interest. Tronox's first quarter net interest was $30 million, a 39% decrease due to lower debt levels and reduced interest rates compared to the prior year. Depreciation, depletion and amortization expense was $68 million.
Tronox ended the quarter with $2.6 billion of total debt and a net leverage ratio of 2.4x. Available liquidity at the end of the quarter totaled $758 million, including $292 million in cash and cash equivalents and $466 million available under revolving credit agreements.
Free cash flow for the first quarter was $86 million after $103 million in capital expenditures, including investments in key capital projects such as newTRON, the Company's global business transformation project to improve, automate, and digitize; and Atlas Campaspe, the mining development project in Eastern Australia that will sustain Tronox's internalization of feedstocks and associated cost advantages and also provide additional zircon supply. These investments are expected to generate returns significantly above the Company's cost of capital and sustain Tronox's position as a leading low-cost producer.
In the first quarter of 2022, the Company returned $25 million to shareholders through the repurchase of approximately 1.4 million shares. Tronox expects free cash flow generation to enable further debt reduction, annual dividend increases, and share repurchases, taking into account the significant capital expenditures forecasted this year.
In March, Tronox announced it had entered into a long-term power purchase agreement with the South African independent power producer, SOLA Group, to provide 200 MW of solar power to Tronox's mines and smelters in the Republic of South Africa. This project is expected to provide approximately 40% of Tronox's South African electricity needs and lower its worldwide scope 1 and 2 emissions by approximately 13%. The Company anticipates the project should be fully implemented by the fourth quarter of 2023. This project is only one example of numerous initiatives and investments being pursued by Tronox to meet its publicly announced goal to align with a global warming scenario below 2°C and achieve net zero greenhouse gas emissions by 2050. More information about the Company's sustainability initiatives will be available in the 2021 Sustainability Report, which is expected to be published mid-year and will be expanded further upon at Tronox's 2022 Investor Day.
The 2022 outlook reflects continued solid demand as well as persistent macro challenges including inflation and supply chain disruptions.
- FY 2022:
- Q2 2022: Adjusted EBITDA expected to be $265-280 million
Mr. Romano concluded, "Based on what we see today, we remain confident in our outlook for the year given the continued strong demand trends we are seeing in the market. We are continuing to monitor recent macro developments including the conflict in Ukraine, which we anticipate will have a muting effect on European growth, but given tight inventories throughout the chain, we do not expect this to materially impact our end market demand. We remain committed to delivering on our commitments and driving value for our stakeholders."
Tronox will conduct a webcast conference call on Thursday, April 28, 2022, at 8:00 a.m. ET (New York). The live call is open to the public via internet broadcast and telephone.
Internet Broadcast: http://investor.tronox.com
Dial-in Telephone Numbers:
United States: 1-844-200-6205
International: 1- 929-526-1599
Access code: 603841
Conference Call Presentation Slides will be used during the conference call and will be available on our website: http://investor.tronox.com
Conference Call Replay: Available via the internet and telephone beginning on April 28, 2022, 11:00 a.m. ET (New York), until May 5, 2022, 5:00 p.m. ET (New York)
Internet Replay: http://investor.tronox.com
Replay Dial-in Telephone Numbers:
US Toll Free: 1- 866-813-9403
International: +44 204 525 0658
Replay Access Code: 329532
Tronox Holdings plc is one of the world's leading producers of high-quality titanium products, including titanium dioxide pigment, specialty-grade titanium dioxide products and high-purity titanium chemicals; and zircon. We mine titanium-bearing mineral sands and operate upgrading facilities that produce high-grade titanium feedstock materials, pig iron and other minerals. With approximately 6,500 employees across six continents, our rich diversity, unmatched vertical integration model, and unparalleled operational and technical expertise across the value chain, position Tronox as the preeminent titanium dioxide producer in the world. For more information about how our products add brightness and durability to paints, plastics, paper and other everyday products, visit tronox.com.
Statements in this release that are not historical are forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements, which are subject to known and unknown risks, uncertainties and assumptions about us, may include projections of our future financial performance including anticipated synergies based on our growth and other strategies, anticipated completion of extensions and upgrades to our mining and operations, anticipated trends in our business, anticipated costs and benefits of project newTRON and Atlas Campaspe and the Company's anticipated capital allocation strategy. These statements are only predictions based on our current expectations and projections about future events. There are important factors that could cause our actual results, level of activity, performance, actual synergies, or achievements to differ materially from the results, level of activity, performance, anticipated synergies or achievements expressed or implied by the forward-looking statements. Significant risks and uncertainties may relate to, but are not limited to, macroeconomic conditions, inflationary pressures, political instability, including the ongoing Russia and Ukraine conflict and any expansion of such conflict, supply chain disruptions, market conditions and price volatility for titanium dioxide, zircon and other feedstock materials, as well as global and regional economic downturns, that adversely affect the demand for our end-use products; disruptions in production at our mining and manufacturing facilities; and other financial, economic, competitive, environmental, political, legal and regulatory factors. These and other risk factors are discussed in the Company's filings with the Securities and Exchange Commission.
Moreover, we operate in a very competitive and rapidly changing environment. New risks and uncertainties emerge from time to time, and it is not possible for our management to predict all risks and uncertainties, nor can management assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. Although we believe the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, level of activity, performance, synergies or achievements. Neither we nor any other person assumes responsibility for the accuracy or completeness of any of these forward-looking statements. You should not rely upon forward-looking statements as predictions of future events. Unless otherwise required by applicable laws, we undertake no obligation to update or revise any forward-looking statements, whether because of new information or future developments.
To provide investors and others with additional information regarding the financial results of Tronox Holdings plc, we have disclosed in this release certain non-U.S. GAAP operating performance measures of EBITDA, Adjusted EBITDA, Adjusted EBITDA margin and Adjusted net income attributable to Tronox, including its presentation on a per share basis, and a non-U.S. GAAP liquidity measure of Free Cash Flow. These non-U.S. GAAP financial measures are a supplement to and not a substitute for or superior to, the Company's results presented in accordance with U.S. GAAP. The non-U.S. GAAP financial measures presented by the Company may be different from non-U.S. GAAP financial measures presented by other companies. Specifically, the Company believes the non-U.S. GAAP information provides useful measures to investors regarding the Company's financial performance by excluding certain costs and expenses that the Company believes are not indicative of its core operating results. The presentation of these non-U.S. GAAP financial measures is not meant to be considered in isolation or as a substitute for results or guidance prepared and presented in accordance with U.S. GAAP. A reconciliation of the non-U.S. GAAP financial measures to U.S. GAAP results is included herein.
Media Contact: Melissa Zona
+1.636.751.4057
Investor Contact: Jennifer Guenther
+1.646.960.6598
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Ultra Clean Reports First Quarter Financial Results
Published: Apr. 27, 2022 at 4:05 PM EDT|Updated: 54 minutes ago
HAYWARD, Calif., April 27, 2022 /PRNewswire/ -- Ultra Clean Holdings, Inc. (Nasdaq: UCTT), today reported its financial results for the first quarter ended April 1, 2022.
"The semiconductor industry is in a period of robust secular growth and increasing demand," said Jim Scholhamer, CEO. "Appetite and appreciation for our products and services remains elevated, upheld by our persistent commitment to quality as recognized by key customers. We are confident in our proven ability to navigate and adapt to challenges, including those that affected our first quarter results."
First Quarter 2022 GAAP Financial Results
Total revenue was $564.1 million. Products contributed $486.8 million and Services added $77.3 million. Total gross margin was 20.2%, operating margin was 8.1%, and net income was $27.9 million or $0.62 and $0.61 per basic and diluted share, respectively. This compares to total revenue of $615.1 million, gross margin of 21.0%, operating margin of 10.2%, and net income of $45.5 million or $1.01 and $1.00 per basic and diluted share, respectively, in the prior quarter.
First Quarter 2022 Non-GAAP Financial Results
On a non-GAAP basis, gross margin was 20.5%, operating margin was 10.9%, and net income was $43.3 million or $0.95 per diluted share. This compares to gross margin of 21.5%, operating margin of 12.6%, and net income of $55.5 million or $1.22 per diluted share in the prior quarter.
Second Quarter 2022 Outlook
The Company expects revenue in the range of $550.0 million to $630.0 million and GAAP diluted net income per share to be between $0.60 and $0.92. The Company expects non-GAAP diluted net income per share to be between $0.84 and $1.20.
Conference Call
The conference call and webcast will take place at 1:45 p.m. PT and can be accessed by dialing 1-844-826-3034 or 1-412-317-5179. No passcode is required. A replay of the call will be available by dialing 1-877-344-7529 or 1-412-317-0088 and entering the confirmation code 9474156. The Webcast will be available on the Investor Relations section of the Company's website at http://uct.com/investors/events/.
About Ultra Clean Holdings, Inc.
Ultra Clean Holdings, Inc. is a leading developer and supplier of critical subsystems, components and parts, and ultra-high purity cleaning and analytical services primarily for the semiconductor industry. Under its Products division, UCT offers its customers an integrated outsourced solution for major subassemblies, improved design-to-delivery cycle times, design for manufacturability, prototyping, and high-precision manufacturing. Under its Services Division, UCT offers its customers tool chamber parts cleaning and coating, as well as micro-contamination analytical services. Ultra Clean is headquartered in Hayward, California. Additional information is available at www.uct.com.
Use of Non-GAAP Measures
In addition to providing results that are determined in accordance with Generally Accepted Accounting Principles in the United States of America (GAAP), management uses non-GAAP gross margin, non-GAAP operating margin and non-GAAP net income to evaluate the Company's operating and financial results. We believe the presentation of non-GAAP results is useful to investors for analyzing our core business and business trends and comparing performance to prior periods, along with enhancing investors' ability to view the Company's results from management's perspective. The presentation of this additional information should not be considered a substitute for results prepared in accordance with GAAP. Tables presenting reconciliations from GAAP results to non-GAAP results are included at the end of this press release.
The Company currently defines non-GAAP net income as net income (loss) before amortization of intangible assets, restructuring charges, executive transition costs, acquisition costs, fair value adjustments, depreciation adjustments, stock-based compensation, certain insurance proceeds, gain on sale of property, legal related costs and the tax effects of the foregoing adjustments.
A reconciliation of our guidance for non-GAAP net income per diluted share for the subsequent quarter is not available due to fluctuations in the geographic mix of our earnings from quarter to quarter, which impacts our tax rate and cannot be reasonably predicted or determined. As a result, such reconciliation is not available without unreasonable efforts and we are unable to determine the probable significance of the unavailable information.
Safe Harbor Statement
The foregoing information contains, or may be deemed to contain, "forward-looking statements" (as defined in the US Private Securities Litigation Reform Act of 1995) which reflect our current views with respect to future events and financial performance. We use words such as "anticipates," "projection," "outlook," "forecast," "believes," "plan," "expect," "future," "intends," "may," "will," "estimates," "see," "predicts," "should" and similar expressions to identify these forward-looking statements. Forward looking statements included in this press release include our expectations about the semiconductor capital equipment market and outlook. All forward-looking statements address matters that involve risks and uncertainties. Accordingly, the Company's actual results may differ materially from the results predicted or implied by these forward-looking statements. These risks, uncertainties and other factors also include, among others, those identified in "Risk Factors," "Management's Discussion and Analysis of Financial Condition and Results of Operations'' and elsewhere in our annual report on Form 10-K for the year ended December 31, 2021 as filed with the Securities and Exchange Commission. Ultra Clean Holdings, Inc. undertakes no obligation to publicly update or review any forward-looking statements, whether as a result of new information, future developments or otherwise unless required by law.
The above press release was provided courtesy of PRNewswire. The views, opinions and statements in the press release are not endorsed by Gray Media Group nor do they necessarily state or reflect those of Gray Media Group, Inc. | https://www.whsv.com/prnewswire/2022/04/27/ultra-clean-reports-first-quarter-financial-results/ | 2022-04-27T20:59:54Z |
Significant Year-Over-Year Growth in Annual Contract Value and Pipeline; Cloud & Infrastructure Solutions Revenue Grows Year Over Year
- Annual Contract Value3 ("ACV") grew 43% YoY
- Total company pipeline2 grew 31% YoY and was up 24% since YE21
- Total company revenue was down 12.4% YoY, driven as expected by a lighter Enterprise Computing Solutions ("ECS") renewal schedule and the exiting of non-strategic DWS contracts in 2021. Excluding these impacts, revenue was up 3.0% YoY
BLUE BELL, Pa., April 27, 2022 /PRNewswire/ -- Unisys Corporation (NYSE: UIS) today reported first-quarter 2022 financial results. "Clients and prospects are responding positively to our expanded and enhanced solution portfolio, demonstrated by increased ACV and pipeline year over year," said Unisys Chair and CEO Peter A. Altabef. "First-quarter financial results were impacted by anticipated ECS renewal timing and the exiting of non-strategic DWS contracts in 2021, but were largely in line with our expectations. Broad market knowledge of our higher-value offerings is growing, and we expect our marketing and sales efforts to further increase awareness and differentiation."
Summary of First-Quarter 2022 Results
- Revenue:
- The impact of from ECS was $48.7M
- The impact of the noted non-strategic DWS contracts exited in 2021 was $26.1M
- Excluding these two impacts, total company revenue grew 3.0% YoY
- Gross Profit:
- Operating Profit:
- Non-GAAP operating profit(5) was $(14.1)M vs. $51.4M in the prior-year period
- Non-GAAP operating profit margin was (3.2)% vs. 10.1% in the prior-year period
- Adjusted EBITDA and Net Income:
- Adjusted EBITDA margin was 7.7% vs. 18.4% in the prior-year period
- Net income margin was (12.8)% vs. (31.0)% in the prior-year period
- Non-GAAP net income margin was (6.1)% vs. 5.8% in prior-year period
- Earnings Per Share:
- Cash Flow:
- Pipeline, ACV and Backlog:
- Driven by significant YoY and sequential growth in DWS and C&I pipelines, including significant YoY and sequential growth in pipeline for targeted areas within those segments
- Driven by significant YoY growth in DWS and C&I ACV
- Clients continue to prefer shorter contract duration, which impacted the aggregate backlog amount. Had contract duration been consistent YoY, backlog would have been flat versus the year-end level.
- Balance Sheet:
1Q22 Financial Highlights by Segment:
Digital Workplace Solutions ("DWS"), transforming digital workplaces and end-user experiences:
- The company's transformation of its DWS business to focus on higher-growth, higher-margin solutions is continuing. Client receptivity to the company's expanded and enhanced DWS solution portfolio has been positive, and new business is growing, though it did not offset the impact in the quarter of non-strategic contracts exited in 2021.
- DWS revenue was $124.8M vs. $142.9M in the prior-year period
- DWS gross profit was $16.0M vs. $19.1M in the prior-year period
Cloud and Infrastructure Solutions ("C&I"), driving modern technology platforms and cloud application development:
- The company's targeted strategy for growth in cloud drove YoY C&I revenue growth in the first quarter. The company recognized charges in the quarter associated with three contracts that impacted profitability but are not expected to be long-term in nature. Excluding the impact of these three contracts, C&I profitability improved year over year.
- C&I revenue grew 7.0% YoY to $129.1M vs. $120.7M in the prior-year period
- C&I gross profit was $7.0M vs. $9.9M in the prior-year period
Enterprise Computing Solutions ("ECS"), enabling digital services through software-defined operating environments:
- The ECS license renewal schedule was lighter year over year as anticipated (which impacted both revenue and profitability, as ECS costs are largely fixed), though segment revenue and profitability were slightly better than internal expectations for the quarter.
- ECS revenue was $120.6M vs. $169.3M in the prior-year period
- ECS gross profit was $62.8M vs. $104.8M in the prior-year period
Conference Call
Unisys will hold a conference call April 28th at 8:00 a.m. Eastern Time to discuss its results. The listen-only webcast, as well as the accompanying presentation materials, can be accessed on the Unisys Investor website at www.unisys.com/investor. Following the call, an audio replay of the webcast, and accompanying presentation materials, can be accessed through the same link.
(1) Backlog – Represents future revenue associated with contracted work which has not yet been delivered or performed. Although we believe this backlog is firm, we may, for commercial reasons, allow the orders to be cancelled, with or without penalty.
(2) Pipeline – Pipeline represents prospective sale opportunities being pursued or for which bids have been submitted. There is no assurance that pipeline will translate into recorded revenue.
(3)Annual Contract Value – The revenue expected to be recognized during the first twelve months following the signing of a contract.
(4)Net Leverage – Net leverage excludes the deficit associated with the qualified U.S. pension plans, given that based on calculations and actuarial assumptions as of December 31, 2021, no future cash contributions are required to the qualified U.S. pension plans for at least the next 10 years. Net leverage includes the deficit from all other pension plans, given the remaining contributions required to those plans.
Non-GAAP and Other Information
Although appropriate under generally accepted accounting principles ("GAAP"), the company's results reflect charges that the company believes are not indicative of its ongoing operations and that can make its profitability and liquidity results difficult to compare to prior periods, anticipated future periods, or to its competitors' results. These items consist of certain portions of post-retirement and cost-reduction and other expenses. Management believes each of these items can distort the visibility of trends associated with the company's ongoing performance. Management also believes that the evaluation of the company's financial performance can be enhanced by use of supplemental presentation of its results that exclude the impact of these items in order to enhance consistency and comparativeness with prior or future period results. The following measures are often provided and utilized by the company's management, analysts, and investors to enhance comparability of year-over-year results, as well as to compare results to other companies in our industry.
(5)Non-GAAP operating profit – The company recorded pretax post-retirement expense and pretax charges in connection with cost-reduction activities and other expenses. For the company, non-GAAP operating profit excluded these items. The company believes that this profitability measure is more indicative of the company's operating results and aligns those results to the company's external guidance, which is used by the company's management to allocate resources and may be used by analysts and investors to gauge the company's ongoing performance.
(6) EBITDA & adjusted EBITDA – Earnings before interest, taxes, depreciation and amortization ("EBITDA") is calculated by starting with net income (loss) attributable to Unisys Corporation common shareholders and adding or subtracting the following items: net income attributable to noncontrolling interests, interest expense (net of interest income), provision for income taxes, depreciation and amortization. Adjusted EBITDA further excludes post-retirement and cost-reduction and other expenses, non-cash share-based expense, and other (income) expense adjustment. In order to provide investors with additional understanding of the company's operating results, these charges are excluded from the adjusted EBITDA calculation.
(7) Non-GAAP net income and non-GAAP diluted earnings per share – The company has recorded post-retirement expense and charges in connection with and cost-reduction activities and other expenses. Management believes that investors may have a better understanding of the company's performance and return to shareholders by excluding these charges from the GAAP diluted earnings/loss per share calculations. The tax amounts presented for these items for the calculation of non-GAAP diluted earnings per share include the current and deferred tax expense and benefits recognized under GAAP for these amounts.
(8)Free cash flow – The company defines free cash flow as cash flow from operations less capital expenditures. Management believes this liquidity measure gives investors an additional perspective on cash flow from on-going operating activities in excess of amounts used for reinvestment.
(9)Adjusted free cash flow – Because inclusion of the company's post-retirement contributions, cost-reduction charges/reimbursements and other payments in free cash flow may distort the visibility of the company's ability to generate cash flow from its operations without the impact of these non-operational costs, management believes that investors may be interested in adjusted free cash flow, which provides free cash flow before these payments. This liquidity measure was provided to analysts and investors in the form of external guidance and is used by management to measure operating liquidity.
About Unisys
Unisys is a technology solutions company that delivers successful outcomes for the most demanding organizations around the world. Unisys offerings include digital workplace solutions, cloud and infrastructure solutions, enterprise computing solutions and business process solutions. For more information on how Unisys delivers for its clients across the commercial, financial services and government sectors, visit unisys.com.
Forward-Looking Statements
Any statements contained in this release that are not historical facts are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, but are not limited to, any projections or expectations of earnings, revenues, non-GAAP operating profit margin, adjusted EBITDA margin, annual contract value, total contract value, new business ACV or TCV, backlog, pipeline or other financial items; any statements of the company's plans, strategies or objectives for future operations; statements regarding future economic conditions or performance; and any statements of belief or expectation. All forward-looking statements rely on assumptions and are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. In particular, statements concerning annual and total contract value are based, in part, on the assumption that each of those contracts will continue for their full contracted term. Risks and uncertainties that could affect the company's future results include, but are not limited to, the following: our ability to attract and retain experienced personnel in key positions; our ability to grow revenue and expand margin in our Digital Workplace Solutions and Cloud and Infrastructure Solutions businesses; our ability to maintain our installed base and sell new solutions and related services; the business and financial risk in implementing acquisitions or dispositions; the potential adverse effects of aggressive competition in the information services and technology market; our ability to effectively anticipate and respond to rapid technological innovation in our industry; our ability to retain significant clients and attract new clients; our contracts may not be as profitable as expected or provide the expected level of revenues; our ability to develop or acquire the capabilities to enhance the company's solutions; we have significant underfunded pension obligations; the impact of COVID-19 on our business, growth, reputation, projections, financial condition, operations, cash flows and liquidity; the performance and capabilities of third parties with whom we have commercial relationships; cybersecurity breaches could result in incurring significant costs and could harm our business and reputation; a failure to meet standards or expectations with respect to the company's environmental, social and governance practices; the risks of doing business internationally when a significant portion of our revenue is derived from international operations; our ability to access financing markets; a reduction in our credit rating; the adverse effects of global economic conditions, acts of war, terrorism, natural disasters or the widespread outbreak of infectious diseases; a significant disruption in our IT systems could adversely affect our business and reputation; we may face damage to our reputation or legal liability if our clients are not satisfied with our services or products; the potential for intellectual property infringement claims to be asserted against us or our clients; the possibility that legal proceedings could affect our results of operations or cash flow or may adversely affect our business or reputation; and our ability to use our net operating loss carryforwards and certain other tax attributes may be limited. Additional discussion of factors that could affect the company's future results is contained in its periodic filings with the Securities and Exchange Commission. The company assumes no obligation to update any forward-looking statements. While included under the definition of forward-looking statements, for the avoidance of doubt, any specific guidance or color that the company may provide from time to time regarding its expected future financial performance is effective only on the date given. The company generally will not update, reaffirm or otherwise comment on any such information except as it deems necessary, and then only in a manner that complies with Regulation FD.
RELEASE NO.: 0427/9870
Unisys and other Unisys products and services mentioned herein, as well as their respective logos, are trademarks or registered trademarks of Unisys Corporation. Any other brand or product referenced herein is acknowledged to be a trademark or registered trademark of its respective holder.
UIS-Q
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SOURCE Unisys Corporation | https://www.whsv.com/prnewswire/2022/04/27/unisys-announces-1q22-results/ | 2022-04-27T21:00:01Z |
Conference call scheduled for 4:30 p.m. ET today
- Completion of Enrollment in Phase 2b VOYAGE Study of VK2809 in Biopsy-Confirmed NASH Expected in 2H22
- Phase 1 Study of Dual GLP-1/GIP Agonist VK2735 Ongoing; Results Expected by Year-End
- Quarter-End Cash Balance of $185M Provides Runway Through Multiple Clinical Catalysts
SAN DIEGO, April 27, 2022 /PRNewswire/ -- Viking Therapeutics, Inc. (Viking) (NASDAQ: VKTX), a clinical-stage biopharmaceutical company focused on the development of novel therapies for metabolic and endocrine disorders, today announced its financial results for the first quarter ended March 31, 2022, and provided an update on its clinical pipeline and other corporate developments.
Highlights from the Quarter Ended March 31, 2022, and Other Recent Events:
"The first quarter of 2022 was a period of continued momentum at Viking, as we expanded our clinical portfolio and advanced our existing programs," stated Brian Lian, Ph.D., chief executive officer of Viking. "Early in the quarter, we announced the initiation of clinical development with our newest pipeline program, VK2735, a novel dual agonist of the glucagon-like peptide 1 (GLP-1) and glucose-dependent insulinotropic polypeptide (GIP) receptors, for the treatment of various metabolic disorders. We expect to report the initial results from a Phase 1 trial of this compound later in the year. During the quarter, we also continued enrollment in the ongoing Phase 2b study of our lead program VK2809 in patients with biopsy-confirmed NASH and fibrosis. We expect to complete enrollment in this study in the second half of 2022. With our rare disease program, VK0214, for X-linked adrenoleukodystrophy, during the first quarter we initiated activities to satisfy the FDA's request for an additional pre-clinical study. We expect to submit the requested data to the Agency in the second quarter of this year and look forward to resuming clinical development of this important program. We are advancing each of these programs while maintaining continued financial discipline. We believe our quarter-end cash balance of $185 million provides a runway extending through important data readouts from each of our clinical programs."
Pipeline and Corporate Highlights
- Phase 2b VOYAGE study evaluating VK2809 for the treatment of NASH continues enrolling patients. VK2809 is an orally available small molecule agonist of the thyroid hormone receptor that possesses selectivity for liver tissue, as well as the beta receptor subtype. The compound has demonstrated best-in-class therapeutic potential in a range of lipid disorders, including non-alcoholic steatohepatitis (NASH).
The company previously announced positive results from a 12-week Phase 2a trial of VK2809 in patients with hypercholesterolemia and non-alcoholic fatty liver disease, which achieved both its primary and secondary endpoints, demonstrating potent reductions in liver fat content and plasma lipids. Key results from the Phase 2a trial included data showing that 88% of patients receiving VK2809 experienced at least a 30% reduction in liver fat content at 12 weeks, including all patients receiving the trial's lowest dose of 5 mg daily. In addition, patients receiving VK2809 experienced improvements in low-density lipoprotein cholesterol (LDL-C), triglycerides and atherogenic proteins. These findings are of particular interest as the compound's lipid-lowering effects may lead to improved cardiovascular benefits, a significant advantage when compared to other drugs and mechanisms that have been shown to increase plasma lipids and potentially cardiovascular risk. Patients treated with VK2809 in this study also experienced durable reductions in liver fat, with the majority remaining responders four weeks after completion of dosing. This study also demonstrated the promising safety and tolerability profile of VK2809. In contrast with other clinical programs in this area, patients treated with VK2809 reported lower rates of GI disturbances such as diarrhea or nausea compared with patients receiving placebo. In addition, no serious adverse events were reported among patients receiving VK2809 or placebo.
VK2809 is currently being evaluated in a Phase 2b trial in patients with NASH. This trial, called VOYAGE, is a randomized, double-blind, placebo-controlled, multicenter study designed to assess the efficacy, safety and tolerability of VK2809 in patients with biopsy-confirmed NASH and fibrosis. The primary endpoint of the study will evaluate the relative change in liver fat content, as assessed by magnetic resonance imaging, proton density fat fraction (MRI-PDFF) from baseline to Week 12 in patients treated with VK2809, as compared to placebo. Secondary objectives include evaluation of histologic changes assessed by hepatic biopsy after 52 weeks of dosing.
During the first quarter, screening and enrollment continued at both U.S. and ex-U.S. study sites, and the company expects to complete enrollment in the second half of 2022.
- Preclinical study supporting Phase 1b VK0214 trial ongoing; On track to submit data to FDA in 2Q22. VK0214 is a novel, orally available thyroid hormone receptor beta agonist being evaluated as a potential treatment for X-linked adrenoleukodystrophy (X-ALD), a rare neurodegenerative disease for which there are currently no pharmacologic treatment options.
In June 2021, Viking reported the results of a randomized, double-blind, placebo-controlled, single ascending dose (SAD) and multiple ascending dose (MAD) Phase 1 study of VK0214 in healthy volunteers. This study successfully achieved its primary and secondary objectives, with VK0214 shown to be safe and well-tolerated at all doses evaluated. Treatment with VK0214 demonstrated dose-dependent exposures, no evidence of accumulation, and a half-life consistent with anticipated once-daily oral dosing. Subjects who received VK0214 experienced reductions in LDL-cholesterol, triglycerides, apolipoprotein B and lipoprotein (a) following 14 days of treatment. Many of the observed lipid reductions achieved statistical significance, though the study was not powered to demonstrate statistical significance on laboratory assessments.
Based on these findings the company initiated a Phase 1b study of VK0214 in patients with the adrenomyeloneuropathy (AMN) form of X-ALD. AMN is the most common form of X-ALD, affecting approximately 50% of those with the disease. The Phase 1b trial is a multi-center, randomized, double-blind, placebo-controlled study in adult male patients with AMN. The primary objectives of the study are to evaluate the safety and tolerability of VK0214 administered once-daily over a 28-day dosing period. The study also includes an exploratory assessment of the impact of VK0214 on plasma levels of very long chain fatty acids, as well as an evaluation of the pharmacokinetics of VK0214 in these patients.
In January 2022, the company was informed that this trial had been placed on clinical hold by the U.S. Food and Drug Administration (FDA or Agency). The Agency requested that the company complete an additional preclinical study prior to continuation. This request was not due to findings from ongoing or previously completed studies. Rather, the FDA informed the company that it considers the ongoing trial to be a Phase 2 trial. As a Phase 2 trial, regulatory guidance requires that a rodent genotoxicity study be completed prior to initiation.
The company expects to complete the requested study and submit the results to the FDA later this quarter, with a goal of resuming dosing in the study as soon as possible thereafter.
- Phase 1 trial of dual GLP-1/GIP agonist VK2735 ongoing. In the first quarter, the company announced initiation of clinical development with VK2735 – an internally-developed compound targeting dual activation of the glucagon like peptide-1 (GLP-1) and the glucose dependent insulinotropic peptide (GIP) receptors. The company is advancing VK2735 for the potential treatment of a range of metabolic disorders.
In November 2021, at the annual meeting of The Obesity Society, the company presented the first data from this program, highlighting improvements in metabolic profile among diet-induced obese (DIO) mice treated with the company's compounds as compared to control cohorts. Specifically, weight loss, glucose control, and insulin sensitivity were enhanced following treatment with the company's dual agonists compared to the effects observed following treatment with the GLP-1 mono-agonist semaglutide, when administered at the same dose for the same time period. Reductions in liver fat content were generally larger among animals treated with Viking's compounds relative to liver fat reductions observed among animals treated with semaglutide. These results suggest that the addition of GIP receptor activity improves upon the effects achieved with activation of the GLP-1 receptor alone.
In the first quarter, the company announced the initiation of a Phase 1 clinical trial evaluating VK2735 in healthy volunteers. The Phase 1 trial is a randomized, double-blind, placebo-controlled, SAD/MAD study in healthy adults. The primary objectives of the study include an evaluation of the safety and tolerability of single and multiple doses of VK2735 delivered subcutaneously, as well as the identification of doses suitable for further clinical development. The study will also evaluate the pharmacokinetics of VK2735 following single and multiple doses. Exploratory pharmacodynamic assessments include evaluations of changes in body weight and liver fat content after four weeks of once-weekly administration. Results from this study are expected to be available in the second half of the year.
- Strong balance sheet continues to support advancement of clinical programs into late stage development. Viking ended the first quarter of 2022 with $185 million in cash, cash equivalents and short-term investments.
- Upcoming investor events. Viking management will participate virtually in the following upcoming investor event:
H.C. Wainwright Annual Global Life Sciences Conference
Dates: May 23 - 25, 2022
First Quarter 2022 Financial Highlights
Research and development expenses for the three months ended March 31, 2022 were $12.6 million compared to $11.5 million for the same period in 2021. The increase was primarily due to increased expenses related to preclinical studies, manufacturing for the company's drug candidates, stock-based compensation, services provided by third-party consultants and salaries and benefits, partially offset by decreased clinical study expenses.
General and administrative expenses for the three months ended March 31, 2022 were $3.7 million compared to $2.7 million for the same period in 2021. The increase was primarily due to increased expenses related to stock-based compensation and legal services.
For the three months ended March 31, 2022, Viking reported a net loss of $16.1 million, or $0.21 per share, compared to a net loss of $14.0 million, or $0.19 per share, in the corresponding period in 2021. The increase in net loss and net loss per share for the three months ended March 31, 2022 was primarily due to the increase in research and development expenses and general and administrative expenses, noted previously, compared to the same period of 2021.
Balance Sheet as of March 31, 2022
At March 31, 2022, Viking held cash, cash equivalents and short-term investments of $184.9 million, compared to $202.1 million as of December 31, 2021.
Conference Call
Management will host a conference call to discuss the company's first quarter 2022 financial results today at 4:30 pm Eastern. To participate in the conference call, please dial (844) 850-0543 from the U.S. or (412) 317-5199 from outside the U.S. In addition, following the completion of the call, a telephone replay will be accessible until May 4, 2022 by dialing (877) 344-7529 from the U.S. or (412) 317-0088 from outside the U.S. and entering conference ID #5270288. Those interested in listening to the conference call live via the internet may do so by visiting the Webcasts page of Viking's website at http://ir.vikingtherapeutics.com/webcasts. An archive of the webcast will also be available on the Webcasts page of the company's website for 30 days.
About Viking Therapeutics, Inc.
Viking Therapeutics is a clinical-stage biopharmaceutical company focused on the development of novel first-in-class or best-in-class therapies for the treatment of metabolic and endocrine disorders. Viking's research and development activities leverage its expertise in metabolism to develop innovative therapeutics designed to improve patients' lives. The company's clinical programs include VK2809, a novel, orally available, small molecule selective thyroid hormone receptor beta agonist for the treatment of lipid and metabolic disorders, which is currently being evaluated in a Phase 2b study for the treatment of biopsy-confirmed non-alcoholic steatohepatitis (NASH) and fibrosis. In a Phase 2a trial for the treatment of non-alcoholic fatty liver disease (NAFLD) and elevated LDL-C, patients who received VK2809 demonstrated statistically significant reductions in LDL-C and liver fat content compared with patients who received placebo. The company's second clinical candidate is VK0214, a novel, orally available, small molecule selective thyroid hormone receptor beta agonist for the potential treatment of X-linked adrenoleukodystrophy (X-ALD). VK0214 is being evaluated in a Phase 1b clinical trial in patients with the adrenomyeloneuropathy (AMN) form of X-ALD. The company's third clinical candidate is VK2735, a novel dual agonist of the glucagon-like peptide 1 (GLP-1) and glucose-dependent insulinotropic polypeptide (GIP) receptors for the potential treatment of various metabolic disorders. VK2735 is currently being evaluated in a Phase 1 clinical trial. The company holds exclusive worldwide rights to a portfolio of five therapeutic programs, including VK2809 and VK0214, which are based on small molecules licensed from Ligand Pharmaceuticals Incorporated.
For more information about Viking Therapeutics, please visit www.vikingtherapeutics.com. Follow Viking on Twitter @Viking_VKTX.
Forward-Looking Statements
This press release contains forward-looking statements regarding Viking Therapeutics, Inc., under the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995, including statements about Viking's expectations regarding responding to the FDA's clinical hold notice, including the timing thereof, expectations regarding conducting the Company's rodent genotoxicity study and expectations regarding the Company's VK0214 program generally. Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially and adversely and reported results should not be considered as an indication of future performance. These risks and uncertainties include, but are not limited to: risks associated with the success, cost and timing of Viking's product candidate development activities and clinical trials, including those for VK2735, VK0214, VK2809, and the company's other incretin receptor agonists; risks that prior clinical and preclinical results may not be replicated; risks regarding regulatory requirements; and other risks that are described in Viking's most recent periodic reports filed with the Securities and Exchange Commission, including Viking's Annual Report on Form 10-K for the year ended December 31, 2021, and subsequent Quarterly Reports on Form 10-Q, including the risk factors set forth in those filings. These forward-looking statements speak only as of the date hereof. Viking disclaims any obligation to update these forward-looking statements except as required by law.
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SOURCE Viking Therapeutics, Inc. | https://www.whsv.com/prnewswire/2022/04/27/viking-therapeutics-reports-first-quarter-2022-financial-results-provides-corporate-update/ | 2022-04-27T21:00:08Z |
- Revenues of $938 million increased 13% year-over-year
- Operating income totaled $18 million and adjusted EBITDA[1] totaled $151 million, or 16% adjusted EBITDA margins representing increases of 238%, 48% and 380 basis points year-over-year respectively
- Cash used in operating activities was $64 million and negative free cash flow[1] was $64 million mainly driven by working capital requirements
- Innovation focus highlighted with commercialization of new technology and expanded Managed Pressure Drilling and Tubular Running Services offerings
- OTC Asia Spotlight on New Technology Award for our Memory Raptor™ Cased-Hole Evaluation System
HOUSTON, April 27, 2022 /PRNewswire/ -- Weatherford International plc (NASDAQ: WFRD) ("Weatherford" or the "Company") announced today its results for the first quarter of 2022.
Revenues for the first quarter of 2022 were $938 million, an increase of 13% year-over-year and a decrease of 3% sequentially. Operating income was $18 million in the first quarter of 2022, compared to an operating loss of $13 million in the first quarter of 2021 and an operating income of $33 million in the fourth quarter of 2021. The Company's first quarter of 2022 net loss was $80 million, compared to a net loss of $116 million in the first quarter of 2021 and a net loss of $161 million in the fourth quarter of 2021.
First quarter 2022 cash flows used in operations were $64 million, compared to cash flows provided by operations of $74 million in the first quarter of 2021 and $88 million in the fourth quarter of 2021. Capital expenditures were $20 million in the first quarter of 2022, compared to $15 million in the first quarter of 2021 and $41 million in the fourth quarter of 2021.
- Adjusted EBITDA[1] was $151 million, an increase of 48% year-over-year and a decrease of 2% sequentially
- Unlevered free cash flow[1] was negative $47 million, a decrease of $141 million year-over-year and a decrease of $194 million sequentially
- Free cash flow[1] was negative $64 million, a decrease of $134 million year-over-year and a decrease of $113 million sequentially
- Restructuring charges of $20 million during the quarter primarily reflect investments in fulfillment initiatives
- Other charges, net of $19 million primarily relate to the write-down of all of our assets in Ukraine, excluding cash
Girish Saligram, President and Chief Executive Officer, commented, "We delivered solid results in line with our guidance, despite the significant headwinds of supply chain, inflation, logistics and geopolitical events that marked the first quarter. Our first-quarter adjusted EBITDA margins of 16% aligned with the high end of our guidance range and our results encourage increasing confidence in our operating strategy. Revenue growth across all our reportable segments on a year-over-year basis gives a firm foundation to our view of 2022 being a year of top line growth, margin expansion and free cash flow generation.
We entered 2022 with a growth and execution mindset, as outlined in our focus areas and strategic vectors. Central to this is improving the Company's fulfillment strategy to drive profitable growth with a leading-edge industrial approach to our core operations of manufacturing, supply chain, and repair and maintenance, across all product lines globally. We took $20 million of restructuring charges, which is an essential investment in our fulfillment strategy to drive expanded margins. I am excited by our breadth of technology, specialty services differentiation, and our best-in-class team, which positions us for long-term success as the energy industry continues its evolution."
Notes:
[1] EBITDA represents income before interest expense, net, loss on extinguishment, bond redemption, income tax, depreciation and amortization expense. Adjusted EBITDA excludes, among other items, restructuring expense, share-based compensation expense, as well as impairment of property plant and equipment, right-of-use assets, and inventory. Free cash flow is calculated as cash flows provided by (used in) operating activities, less capital expenditures plus proceeds from the disposition of assets. Unlevered free cash flow is calculated as free cash flow plus cash paid for interest. EBITDA, adjusted EBITDA, free cash flow and unlevered free cash flow are non-GAAP measures. Each measure is defined and reconciled to the most directly comparable GAAP measure in the tables below.
Operational Highlights
- Abu Dhabi National Oil Company (ADNOC) awarded Weatherford a five-year contract with an optional two-year extension to provide wireline logging and perforating services. We were selected for our expertise in cased-hole reservoir characterization and monitoring, extensive pipe recovery capabilities, and world-class perforation services.
- Weatherford received a three-year contract to provide cemented liner hangers for a bp-operated business in Azerbaijan with the potential for increased scope in the future. Superior run-in features, combined with our Company's high level of service quality and strong presence in the region, were instrumental in securing this award.
- Weatherford received two five-year artificial lift awards from Tatweer Petroleum in Bahrain to deliver, install and service beam pumping units and downhole pumps.
- Cairn awarded Weatherford a five-year integrated artificial lift and production automation contract across its workover and rigless activities in Western India. The contract, which is slated to commence in the third quarter of 2022, will enable greater production optimization and help drive collaboration between the operator and its service partners.
Technology Deployments
- Weatherford continues to innovate in Tubular Running Services (TRS) portfolio with our latest product enhancement, The Soloist™. This torque-turn monitoring solution strengthens our market-leading services to enable single-person operation and simplified remote viewing while running tubing or casing in the hole.
- On an operation with Hamburg Energy, we deployed our Magnus® rotary steerable system from top to total depth in the geothermal well, drilling all three sections—a first for the system on this well type. We also used market-leading evaluation tools to analyze and log both cased- and open-hole sections and cement bonds. This operation is another great example of our strong positioning in the Geothermal space, which is an important element of the energy transition.
- Weatherford has formed a collaboration with Sub Sea Services that will transform Managed Pressure Drilling (MPD) from an add-on to a seamlessly integrated part of the drilling rig. The collaboration will integrate field-proven Weatherford technologies—the rotating control device and the annular isolation device—with a remotely operated pull-in system from Sub Sea Services. The result will be an industry-first complete integration of MPD and typical riser auxiliary lines into a single automated connection for all drilling operations.
- Following the commercialization of our Managed Pressure Wells solution, Weatherford integrated and deployed it on the Maersk Viking ultra-deepwater drillship, securing the rig's attractive position in a region where MPD capabilities are in high demand. The Maersk Viking is currently drilling with the Weatherford MPD system for a major operator in Malaysia. This integration shows the strategic importance of collaboration with drilling contractors and provides significant MPD benefits to customers.
Liquidity
We closed the first quarter of 2022 with total cash of approximately $1.1 billion as of March 31, 2022, down $57 million sequentially. Unlevered free cash flow of negative $47 million was down $194 million sequentially, and free cash flow of negative $64 million was down $113 million versus the fourth quarter of 2021. This is primarily due to working capital requirements.
Results by Reportable Segment
Drilling & Evaluation ("DRE")
First quarter 2022 DRE revenues of $292 million increased by $56 million, or 24% year-over-year, largely due to higher demand for managed pressure drilling and wireline services, primarily in Latin America, and the Middle East/North Africa/Asia. DRE revenues increased by $5 million, or 2% sequentially, due to increased seasonal activity in North America, primarily in Canada.
First quarter 2022 DRE segment adjusted EBITDA of $59 million increased by $30 million, or 103% year-over-year, largely due to higher demand for managed pressure drilling and drilling services, and primarily in Latin America and increased by $4 million, or 7% sequentially, primarily due to improving gross margins.
Well Construction and Completions ("WCC")
First quarter 2022 WCC revenues of $344 million increased by $21 million, or 7% year-over-year, largely due to higher demand for cementation products and activity in North America. Revenues decreased by $4 million, or 1% sequentially, primarily due to a decline in international activity.
First quarter 2022 WCC segment adjusted EBITDA of $67 million increased by $17 million, or 34% year-over-year, mostly due to higher demand for cementation and completions products, with improvement primarily in the Middle East/North Africa/Asia. WCC segment adjusted EBITDA decreased by $5 million, or 7% sequentially, due to lower international contract consumption.
Production and Intervention ("PRI")
First quarter 2022 PRI revenues of $286 million increased by $27 million, or 10% year-over-year, due to higher demand for intervention, and pressure pumping services primarily in the Middle East/North Africa/Asia, and Latin America, respectively. Revenue decreased by $12 million, or 4% sequentially, due to logistical challenges impacting North America and a decline in customer activity in the Middle East/North Africa/Asia.
First quarter 2022 PRI segment adjusted EBITDA of $39 million decreased $2 million, or 5% year-over-year, mainly due to higher logistics costs and supply chain challenges impacting our delivery schedule for products in North America, partially offset by activity improvements in the Middle East/North Africa/Asia. PRI segment adjusted EBITDA decreased by $8 million or 17% sequentially, due to logistical challenges impacting North America and inflation across international markets.
About Weatherford
Weatherford is a leading global energy services company. Operating in approximately 75 countries, the Company answers the challenges of the energy industry with its global talent network of approximately 17,000 team members and approximately 350 operating locations, including manufacturing, research and development, service, and training facilities. Visit https://www.weatherford.com/ for more information or connect on LinkedIn, Facebook, Twitter, Instagram, or YouTube.
Conference Call Details
Weatherford will host a conference call on Thursday, April 28, 2022, to discuss the results for the first quarter ended March 31, 2022. The conference call will begin at 9:00 a.m. Eastern Time (8:00 a.m. Central Time).
Listeners are encouraged to download the accompanying presentation slides which will be available in the investor relations section of the Company's website.
Listeners can participate in the conference call via a live webcast at https://www.weatherford.com/en/investor-relations/investor-news-and-events/events/, or by dialing +1 877-328-5344 (within the U.S.) or +1 412-902-6762 (outside of the U.S.) and asking for the Weatherford conference call. Listeners should log in or dial in approximately 10 minutes prior to the start of the call.
A telephonic replay of the conference call will be available until May 12, 2022 at 5:00 p.m. Eastern Time. To access the replay, please dial +1 877-344-7529 (within the U.S.) or +1 412-317-0088 (outside of the U.S.) and reference conference number 6100377. A replay and transcript of the earnings call will also be available in the investor relations section of the Company's website.
Contacts
For Investors:
Mohammed Topiwala
Director, Investor Relations and M&A
+1 713-836-7777
investor.relations@weatherford.com
For Media:
Kelley Hughes
Director, Global Communications
+1 713-836-4193
kelley.hughes@weatherford.com
Forward-Looking Statements
This news release contains projections and forward-looking statements concerning, among other things, the Company's quarterly and full-year revenues, operating income and losses, segment adjusted EBITDA, adjusted EBITDA, free cash flow, unlevered free cash flow, forecasts or expectations regarding business outlook, prospects for its operations, capital expenditures, expectations regarding future financial results, and are also generally identified by the words "believe," "project," "expect," "anticipate," "estimate," "outlook," "budget," "intend," "strategy," "plan," "guidance," "may," "should," "could," "will," "would," "will be," "will continue," "will likely result," and similar expressions, although not all forward-looking statements contain these identifying words. Such statements are based upon the current beliefs of Weatherford's management and are subject to significant risks, assumptions, and uncertainties. Should one or more of these risks or uncertainties materialize, or underlying assumptions prove incorrect, actual results may vary materially from those indicated in our forward-looking statements. Readers are cautioned that forward-looking statements are only predictions and may differ materially from actual future events or results, including the price and price volatility of oil and natural gas; the extent or duration of business interruptions, demand for oil and gas and fluctuations in commodity prices associated with the Russia Ukraine conflict and the COVID-19 pandemic; general global economic repercussions related to U.S and global inflationary pressures, the Russia Ukraine conflict, and the COVID-19 pandemic; the macroeconomic outlook for the oil and gas industry; and operational challenges relating to the Russia Ukraine conflict, sanctions imposed by various countries relating to the Russia Ukraine conflict, and the COVID-19 pandemic and efforts to mitigate the spread of the COVID-19 virus and COVID-19 variants, including logistical challenges, protecting the health and well-being of our employees, remote work arrangements, performance of contracts and supply chain disruptions; our ability to generate cash flow from operations to fund our operations; and the realization of additional cost savings and operational efficiencies.
These risks and uncertainties are more fully described in Weatherford's reports and registration statements filed with the SEC, including the risk factors described in the Company's Annual Report on Form 10-K. Accordingly, you should not place undue reliance on any of the Company's forward-looking statements. Any forward-looking statements speaks only as of the date on which such statement is made, and the Company undertakes no obligation to correct or update any forward-looking statement, whether as a result of new information, future events or otherwise, except as required by applicable law, and we caution you not to rely on them unduly.
We report our financial results in accordance with U.S. generally accepted accounting principles (GAAP). However, Weatherford's management believes that certain non-GAAP financial measures (as defined under the SEC's Regulation G and Item 10(e) of Regulation S-K) may provide users of this financial information additional meaningful comparisons between current results and results of prior periods and comparisons with peer companies. The non-GAAP amounts shown in the following tables should not be considered as substitutes for operating income, provision for income taxes, net income or other data prepared and reported in accordance with GAAP, but should be viewed in addition to the Company's reported results prepared in accordance with GAAP.
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SOURCE Weatherford International plc | https://www.whsv.com/prnewswire/2022/04/27/weatherford-announces-first-quarter-2022-results/ | 2022-04-27T21:00:15Z |
AUBURN HILLS, Mich., April 27, 2022 /PRNewswire/ -- BorgWarner Inc. (NYSE: BWA) announces the following Webcast:
If you are unable to participate during the live webcast, the call will be archived at (http://www.borgwarner.com/en/Investors/default.aspx)
BorgWarner Inc. (NYSE: BWA) is a global product leader in clean and efficient technology solutions for combustion, hybrid and electric vehicles. Building on its original equipment expertise, BorgWarner also brings market leading product and service solutions to the global aftermarket. With manufacturing and technical facilities in 93 locations in 22 countries, the Company employs approximately 49,000 worldwide. For more information, please visit borgwarner.com.
WEB SITE: http://www.borgwarner.com
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SOURCE BorgWarner | https://www.whsv.com/prnewswire/2022/04/27/webcast-alert-borgwarner-2022-first-quarter-results-conference-call/ | 2022-04-27T21:00:22Z |
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