Watts Water Technologies Reports Record Second Quarter 2025 Results
Chief Executive Officer Robert J. Pagano Jr. said, 'We delivered another strong quarter that surpassed our expectations as we achieved record sales, operating income, operating margin and EPS. We continue to demonstrate our ability to execute through periods of uncertainty, enabled by the Watts team's unwavering focus and commitment to serving our customers. As a result of our strong first half performance and our third quarter expectations, we are increasing our full year 2025 sales and margin outlook.'
Mr. Pagano concluded, 'We continue to invest for the future and position ourselves to capitalize on growth opportunities aligned to favorable secular trends. We are pleased to have acquired the assets of EasyWater, which includes innovative water conditioning and filtration solutions that complement our existing water quality portfolio. The acquisition closed in June and the integration is underway and progressing well. We are confident that our differentiated capabilities and solutions as well as our resilient business strategy will drive sustainable, long-term growth and shareholder value creation.'
A summary of second quarter financial results is as follows:
_________________________
(1)
Organic sales growth, adjusted operating income, adjusted operating margin, free cash flow, special items and adjusted diluted earnings per share represent non-GAAP financial measures. For a reconciliation of GAAP to non-GAAP items, please see the tables attached to this press release.
Expand
Second Quarter Financial Highlights
Second quarter 2025 performance relative to second quarter 2024
Sales of $644 million increased 8% on a reported basis and 6% on an organic basis. Organic sales increased due to price, volume and pull-forward demand in the Americas resulting from tariff-related price increases. Growth in the Americas was partly offset by continued market weakness in Europe and project timing in China. Incremental acquisition sales within the Americas were $7 million and contributed 1% to reported growth. Favorable foreign exchange movements increased sales by $5 million, or 1%.
Operating margin increased 230 basis points on a reported basis and 280 basis points on an adjusted basis. Operating and adjusted operating margin increased primarily due to favorable price, volume leverage in the Americas, productivity and cost actions which more than offset volume deleverage in Europe and inflation. Operating margin on a reported basis was unfavorably impacted by an increase in restructuring charges.
Regional Performance
Americas
Sales of $499 million increased 11% on a reported basis and 10% on an organic basis, primarily due to price, volume and pull-forward demand. The acquisitions of I-CON and EasyWater contributed $7 million of incremental sales, or 1% to reported growth.
Segment margin increased 290 basis points as benefits from price realization, volume leverage, productivity and cost actions more than offset inflation and investments.
Europe
Sales of $111 million decreased 3% on a reported basis and 8% on an organic basis. Sales declined as a result of lower volumes due to declining heating OEM sales and continued market weakness, which more than offset favorable price realization. Favorable foreign exchange movements increased reported sales by 5%.
Segment margin increased 170 basis points as price, productivity and cost actions more than offset volume deleverage and inflation.
APMEA
Sales of $34 million decreased 3% on a reported basis and 1% on an organic basis. Sales decreased due to project timing in China, partly offset by growth in Australia, New Zealand and the Middle East. Unfavorable foreign exchange movements decreased sales by 2%.
Segment margin was flat as benefits from productivity were offset by inflation and sales mix.
Cash Flow and Capital Allocation
For the first six months of 2025, operating cash flow was $125 million and net capital expenditures were $20 million, resulting in free cash flow of $105 million. In the comparable period last year, operating cash flow was $131 million and net capital expenditures were $11 million, resulting in free cash flow of $120 million. Operating and free cash flow decreased due to higher working capital investment related to timing of accounts receivable collections and higher inventory costs primarily related to tariffs, partially offset by higher net income. Free cash flow was also unfavorably impacted by an increase in net capital expenditures, largely due to proceeds from the sale of properties in the prior year. Sequential improvement in operating and free cash flow is expected throughout the second half of 2025 due to normal seasonality.
The Company repurchased approximately 18,000 shares of Class A common stock at a cost of $4.0 million during the second quarter of 2025. For the first six months of 2025, the Company repurchased approximately 37,000 shares at a cost of $7.9 million. Approximately $137 million remains available under the stock repurchase program authorized in 2023. There is no expiration date for this program.
Full Year 2025 Outlook
The Company is increasing its full year sales and organic sales growth outlook and the midpoint of its operating margin and adjusted operating margin outlook. Reported sales are expected to increase between 2% to 5% and organic sales growth to range from flat to up 3%. Full year operating margin is expected to be between 17.2% and 17.8%, or down 10 to up 50 basis points, and adjusted operating margin is expected to be between 18.2% and 18.8%, or up 50 to 110 basis points. The full year outlook incorporates estimated tariff impact and actions as of August 6, 2025.
Further 2025 planning assumptions are included in the second quarter earnings materials posted in the Investor Relations section of our website at www.watts.com.
For a reconciliation of GAAP to non-GAAP items and a statement regarding the usefulness of these measures to investors and management in evaluating our operating performance, please see the tables attached to this press release.
Watts Water Technologies, Inc. will hold a live webcast of its conference call to discuss second quarter 2025 results on Thursday, August 7, 2025 at 9:00 a.m. EDT. This press release and the live webcast can be accessed by visiting the Investor Relations section of the Company's website at www.watts.com. Following the webcast, the call recording will be available at the same address until August 8, 2026.
Watts Water Technologies, Inc., through its subsidiaries, is a world leader in the manufacturing of innovative products to control the efficiency, safety, and quality of water within residential, commercial, and institutional applications. Watts' expertise in a wide variety of water technologies enables us to be a comprehensive supplier to the water industry.
This press release includes 'forward-looking statements' as defined in the Private Securities Litigation Reform Act of 1995, including statements relating to expected full year 2025 financial results, including sales and organic sales growth, operating margin and adjusted operating margin, future dividends, our strategy, investments, the benefits from and integration of recent acquisitions, improvements in operating and free cash flow throughout 2025, our ability to manage uncertainty and current market conditions, long-term growth and shareholder value creation and return of capital to stockholders. These forward-looking statements reflect our current views about future events. You should not rely on forward-looking statements because our actual results may differ materially from those predicted as a result of a number of potential risks and uncertainties. These potential risks and uncertainties include, but are not limited to: the imposition of or changes to tariff rates and related impacts to our business and the broader market; the effectiveness, timing and expected savings associated with our cost-cutting actions, restructuring and initiatives; integration of acquired businesses in a timely and cost-effective manner, retention of supplier and customer relationships and key employees, and the ability to achieve synergies and cost savings in the amounts and within the time frames currently anticipated; current economic and financial conditions, which can affect the housing and construction markets where our products are sold, manufactured and marketed; shortages in and pricing of raw materials and supplies; our ability to compete effectively; changes in variable interest rates on our borrowings; inflation; failure to expand our markets through acquisitions; failure to successfully develop and introduce new product offerings or enhancements to existing products; failure to manufacture products that meet required performance and safety standards; foreign exchange rate fluctuations; cyclicality of industries where we market our products, such as plumbing and heating wholesalers and home improvement retailers; environmental compliance costs; product liability risks and costs; changes in the status of current litigation; the war in Ukraine and other global crises; supply chain and logistical disruptions or labor shortages and workforce disruptions that could negatively affect our supply chain, manufacturing, distribution, or other business processes; and other risks and uncertainties discussed under the heading 'Item 1A. Risk Factors' and in Note 16 of the Notes to the Consolidated Financial Statements in our Annual Report on Form 10-K for the year ended December 31, 2024, filed with the Securities and Exchange Commission ('SEC'), as well as risk factors disclosed in our subsequent filings with the SEC. We undertake no duty to update the information contained in this press release, except as required by law.
WATTS WATER TECHNOLOGIES, INC. AND SUBSIDIARIES
(Amounts in millions, except share information)
(Unaudited)
June 29,
2025
2024
ASSETS
CURRENT ASSETS:
Cash and cash equivalents
$
369.3
$
386.9
Trade accounts receivable, less reserve allowances of $13.5 million at June 29, 2025 and $11.9 million at December 31, 2024
337.5
253.2
Inventories, net:
Raw materials
157.4
141.9
Work in process
21.0
16.9
Finished goods
270.1
233.3
Total Inventories
448.5
392.1
Prepaid expenses and other current assets
58.7
51.3
Total Current Assets
1,214.0
1,083.5
PROPERTY, PLANT AND EQUIPMENT:
Property, plant and equipment, at cost
739.6
691.6
Accumulated depreciation
(474.3
)
(436.8
)
Property, plant and equipment, net
265.3
254.8
OTHER ASSETS:
Goodwill
781.9
715.0
Intangible assets, net
252.0
235.0
Deferred income taxes
42.9
36.4
Other, net
88.8
72.3
TOTAL ASSETS
$
2,644.9
$
2,397.0
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable
$
176.9
$
148.0
Accrued expenses and other liabilities
220.0
190.8
Accrued compensation and benefits
71.5
79.1
Total Current Liabilities
468.4
417.9
LONG-TERM DEBT
197.3
197.0
DEFERRED INCOME TAXES
11.5
10.9
OTHER NONCURRENT LIABILITIES
75.3
63.3
STOCKHOLDERS' EQUITY:
Preferred Stock, $0.10 par value; 5,000,000 shares authorized; no shares issued or outstanding
—
—
Class A common stock, $0.10 par value; 120,000,000 shares authorized; 1 vote per share; issued and outstanding, 27,418,992 shares at June 29, 2025 and 27,366,685 shares at December 31, 2024
2.7
2.7
Class B common stock, $0.10 par value; 25,000,000 shares authorized; 10 votes per share; issued and outstanding, 5,946,290 shares at June 29, 2025 and 5,953,290 shares at December 31, 2024
0.6
0.6
Additional paid-in capital
708.6
696.2
Retained earnings
1,308.7
1,184.8
Accumulated other comprehensive loss
(128.2
)
(176.4
)
Total Stockholders' Equity
1,892.4
1,707.9
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY
$
2,644.9
$
2,397.0
Expand
WATTS WATER TECHNOLOGIES, INC. AND SUBSIDIARIES
(Amounts in millions)
(Unaudited)
Six Months Ended
June 29,
June 30,
2025
2024
OPERATING ACTIVITIES
Net income
$
174.9
$
154.5
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation
17.9
16.9
Amortization of intangibles and other
10.3
9.8
Loss on disposal of long-lived assets and (gain) on sale of assets
0.2
(4.1
)
Stock-based compensation
9.5
10.0
Deferred income tax
(6.2
)
(5.2
)
Changes in operating assets and liabilities, net of effects from business acquisitions:
Accounts receivable
(69.3
)
(50.0
)
Inventories
(37.0
)
(16.8
)
Prepaid expenses and other assets
(16.3
)
(0.8
)
Accounts payable, accrued expenses and other liabilities
40.9
16.6
Net cash provided by operating activities
124.9
130.9
INVESTING ACTIVITIES
Additions to property, plant and equipment
(19.8
)
(16.9
)
Proceeds from the sale of property, plant and equipment
—
5.7
Business acquisitions, net of cash acquired
(85.7
)
(96.3
)
Net cash used in investing activities
(105.5
)
(107.5
)
FINANCING ACTIVITIES
Payments of long-term debt
—
(40.0
)
Payments for withholding taxes on vested awards
(11.1
)
(12.8
)
Payments for finance leases and other
(1.3
)
(1.3
)
Payments to repurchase common stock
(7.9
)
(8.1
)
Dividends
(32.0
)
(26.7
)
Net cash used in financing activities
(52.3
)
(88.9
)
Effect of exchange rate changes on cash and cash equivalents
15.3
(5.2
)
DECREASE IN CASH AND CASH EQUIVALENTS
(17.6
)
(70.7
)
Cash and cash equivalents at beginning of year
386.9
350.1
CASH AND CASH EQUIVALENTS AT END OF PERIOD
$
369.3
$
279.4
Expand
Segment Earnings and Non-GAAP Financial Measures
In this press release, segment earnings is our GAAP performance measure used by our chief operating decision-maker ('CODM') to assess and evaluate segment results. Segment earnings exclude the impact of non-recurring and unusual items, such as restructuring costs, acquisition-related costs and gain or loss on sale of assets. The CODM uses segment earnings for insight into underlying trends comparing past financial performance with current performance by reporting segment on a consistent basis. Segment margin is defined as segment earnings divided by segment revenue.
We refer to non-GAAP financial measures (including adjusted operating income, adjusted operating margin, adjusted net income, adjusted diluted earnings per share, organic sales, organic sales growth, free cash flow, cash conversion rate of free cash flow to net income and net debt to capitalization ratio) and provide a reconciliation of those non-GAAP financial measures to the corresponding financial measures contained in our consolidated financial statements prepared in accordance with GAAP. We believe these financial measures enhance the overall understanding of our historical financial performance and give insight into our future prospects. Adjusted operating income, adjusted operating margin, adjusted net income and adjusted diluted earnings per share eliminate certain expenses incurred and benefits recognized in the periods presented that relate primarily to our global restructuring programs, acquisition-related costs, gain or loss on sale of assets and the related income tax impacts on these items and tax adjustment items. Management then utilizes these adjusted financial measures to assess the run rate of the Company's operations against those of comparable periods. Organic sales and organic sales growth are non-GAAP measures of sales and sales growth excluding the impacts of foreign exchange, acquisitions and divestitures from period-over-period comparisons. Management believes reporting organic sales and organic sales growth provides useful information to investors, potential investors and others, and allows for a more complete understanding of underlying sales trends by providing sales and sales growth on a consistent basis. Free cash flow, cash conversion rate of free cash flow to net income, and the net debt to capitalization ratio, which are adjusted to exclude certain cash inflows and outlays, and include only certain balance sheet accounts from the comparable GAAP measures, are an indication of our performance in cash flow generation and also provide an indication of the Company's relative balance sheet leverage to other industrial manufacturing companies. These non-GAAP financial measures are among the primary indicators management uses as a basis for evaluating our cash flow generation and our capitalization structure. In addition, free cash flow is used as a criterion to measure and pay certain compensation-based incentives. For these reasons, management believes these non-GAAP financial measures can be useful to investors, potential investors and others. The Company's non-GAAP financial measures may not be comparable to similarly titled measures reported by other companies. The presentation of this additional information is not meant to be considered in isolation or as a substitute for financial measures prepared in accordance with GAAP.
TABLE 3
(Amounts in millions)
(Unaudited)
Second Quarter Ended
Americas
Europe
APMEA
Total
Net sales June 29, 2025
$
498.5
$
111.0
$
34.2
$
643.7
Net sales June 30, 2024
448.1
114.1
35.1
597.3
Dollar change
$
50.4
$
(3.1)
$
(0.9)
$
46.4
Net sales % increase (decrease)
11.2
%
(2.7)
%
(2.6)
%
7.8
%
Foreign exchange impact
0.1
%
(4.9)
%
1.5
%
(0.8)
%
Acquisition impact
(1.5)
%
—
%
—
%
(1.2)
%
Organic sales increase (decrease)
9.8
%
(7.6)
%
(1.1)
%
5.8
%
Expand
Six Months Ended
Net sales June 29, 2025
$
916.6
$
219.4
$
65.7
$
1,201.7
Net sales June 30, 2024
866.9
237.4
63.9
1,168.2
Dollar change
$
49.7
$
(18.0)
$
1.8
$
33.5
Net sales % increase (decrease)
5.7
%
(7.6)
%
2.8
%
2.9
%
Foreign exchange impact
0.2
%
(0.8)
%
2.5
%
0.1
%
Acquisition impact
(1.4)
%
—
%
—
%
(1.0)
%
Organic sales increase (decrease)
4.5
%
(8.4)
%
5.3
%
2.0
%
Expand
TABLE 4
(Amounts in millions)
(Unaudited)
Six Months Ended
June 29,
June 30,
2025
2024
Net cash provided by operating activities
$
124.9
$
130.9
Less: additions to property, plant, and equipment
(19.8)
(16.9)
Plus: proceeds from the sale of property, plant, and equipment
—
5.7
Free cash flow
$
105.1
$
119.7
Net income
$
174.9
$
154.5
Cash conversion rate of free cash flow to net income
60.1
%
77.5
%
Expand
TABLE 5
(Amounts in millions)
(Unaudited)
June 29,
December 31,
2025
2024
Current portion of long-term debt
$
—
$
—
Plus: long-term debt, net of current portion
197.3
197.0
Less: cash and cash equivalents
(369.3)
(386.9)
Net debt
$
(172.0)
$
(189.9)
Net debt
$
(172.0)
$
(189.9)
Total stockholders' equity
1,892.4
1,707.9
Capitalization
$
1,720.4
$
1,518.0
Net debt to capitalization ratio
(10.0)
%
(12.5)
%
Expand
TABLE 6
2025 FULL YEAR OUTLOOK – RECONCILIATION OF NET SALES GROWTH TO ORGANIC SALES GROWTH AND OPERATING MARGIN TO ADJUSTED OPERATING MARGIN
(Unaudited)
Total Watts
Full Year
2025 Outlook
Approximately
Net Sales
Net sales growth
2% to 5%
Forecasted impact of acquisition / FX
(2)%
Organic sales growth
Flat to 3%
Operating Margin
Operating margin
17.2% to 17.8%
Forecasted restructuring / other costs
1.0%
Adjusted operating margin
18.2% to 18.8%
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For more information, please visit: Cautionary Statement Regarding Forward-Looking Statements This news release may 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, that are based on LandBridge's beliefs, as well as assumptions made by, and information currently available to, LandBridge, and therefore involve risks and uncertainties that are difficult to predict. Generally, future or conditional verbs such as 'will,' 'would,' 'should,' 'could,' or 'may' and the words 'believe,' 'anticipate,' 'continue,' 'intend,' 'expect' and similar expressions identify forward-looking statements. Forward-looking statements include, but are not limited to, strategies, plans, objectives, expectations, intentions, assumptions, future operations and prospects and other statements that are not historical facts, including our estimated future financial performance. You should not place undue reliance on forward-looking statements. Although LandBridge believes that plans, intentions and expectations reflected in or suggested by any forward-looking statements made herein are reasonable, LandBridge may be unable to achieve such plans, intentions or expectations and actual results, and performance or achievements may vary materially and adversely from those envisaged in this news release due to a number of factors including, but not limited to: our customers' demand for and use of our land and resources; the success of our affiliates, including WaterBridge, in executing their business strategies, including their ability to construct infrastructure, attract customers and operate successfully on our land; our customers' ability to develop our land or any potential acquired acreage to accommodate any future surface use developments, such as the sites under contract or negotiation for the CCGT Plant, the data center lease development agreement and the DBR Solar opportunity; our ability to continue the payment of dividends; the domestic and foreign supply of, and demand for, energy sources, including the impact of political instability or armed conflict in oil and natural gas producing regions, including the Russia-Ukraine war, as well as the Israel-Hamas conflict and heightened tensions in the Middle East, including with Iran, actions relating to oil price and production controls by the members of the Organization of Petroleum Exporting Countries, Russia and other allied producing countries, such as announcements of potential changes to oil production levels; our reliance on a limited number of customers and a particular region for substantially all of our revenues, including the potential consolidation of such customers within such region; our ability to enter into favorable contracts regarding surface uses, access agreements and fee arrangements, including the prices we are able to charge and the margins we are able to realize; our business strategies and our ability to execute thereon, including our ability to attract non-traditional energy customers to use our land and resources and to successfully implement our growth plans and manage any resultant growth; our level of indebtedness and our ability to service our indebtedness; and any changes in general economic and/or industry specific conditions. These risks, as well as other risks associated with LandBridge are also more fully discussed in LandBridge's filings with the SEC, including its most recent Annual Report on Form 10-K and any subsequently filed Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. You can access LandBridge's filings with the SEC through the SEC's website at Except as required by applicable law, LandBridge undertakes no obligation to update any forward-looking statements or other statements herein for revisions or changes after this communication is made. The historical financial information presented below reflects only our historical financial results and the historical financial results of our predecessor, DBR Land Holdings LLC, as applicable. CONSOLIDATED BALANCE SHEETS (in thousands) (unaudited) June 30, December 31, 2025 2024 Current assets: Cash and cash equivalents $ 20,345 $ 37,032 Accounts receivable, net 17,881 12,544 Related party accounts receivable 2,702 2,111 Prepaid expenses and other current assets 3,212 1,628 Total current assets 44,140 53,315 Non-current assets: Property, plant and equipment, net 918,312 902,742 Intangible assets, net 42,985 45,265 Deferred tax assets 58,548 29,416 Other assets 2,395 1,741 Total non-current assets 1,022,240 979,164 Total assets $ 1,066,380 $ 1,032,479 Liabilities and equity Current liabilities: Accounts payable $ 510 $ 489 Taxes payable 455 2,286 Related party accounts payable 782 686 Accrued liabilities 6,280 7,185 Current portion of long-term debt 171 424 Deferred revenue 1,059 1,221 Other current liabilities 1,104 2,119 Total current liabilities 10,361 14,410 Non-current liabilities: Long-term debt, net of debt issuance costs 370,872 380,815 Other long-term liabilities 182 183 Total non-current liabilities 371,054 380,998 Total liabilities 381,415 395,408 Class A shares, unlimited shares authorized and 25,155,419 shares issued and outstanding as of June 30, 2025. Unlimited shares authorized and 23,255,419 shares issued and outstanding as of December 31, 2024 254,022 208,427 Class B shares, unlimited shares authorized and 51,213,492 shares issued and outstanding as of June 30, 2025. Unlimited shares authorized and 53,227,852 shares issued and outstanding as of December 31, 2024 - - Retained earnings 12,426 3,349 Total shareholders' equity attributable to LandBridge Company LLC 266,448 211,776 Noncontrolling interest 418,517 425,295 Total shareholders' equity 684,965 637,071 Total liabilities and equity $ 1,066,380 $ 1,032,479 Expand Comparison of Non-GAAP Financial Measures Adjusted EBITDA, Adjusted EBITDA Margin, Free Cash Flow and Free Cash Flow Margin are supplemental non-GAAP measures that we use to evaluate current, past and expected future performance. Although these non-GAAP financial measures are important factors in assessing our operating results and cash flows, they should not be considered in isolation or as a substitute for net income, gross margin or any other measures presented under GAAP. Adjusted EBITDA and Adjusted EBITDA Margin are used to assess the financial performance of our assets over the long term to generate sufficient cash to return capital to equity holders or service indebtedness. We define Adjusted EBITDA as net income (loss) before interest; taxes; depreciation, amortization, depletion and accretion; share-based compensation; non-recurring transaction-related expenses and other non-cash or non-recurring expenses. We define Adjusted EBITDA Margin as Adjusted EBITDA divided by total revenues. We believe Adjusted EBITDA and Adjusted EBITDA Margin are useful because they allow us to more effectively evaluate our operating performance and compare the results of our operations from period to period, and against our peers, without regard to our financing methods or capital structure. We exclude the items listed above from net income (loss) in arriving at Adjusted EBITDA and Adjusted EBITDA Margin because these amounts can vary substantially from company to company within our industry depending upon accounting methods, book values of assets, capital structures and the method by which the assets were acquired. The following table sets forth a reconciliation of net income as determined in accordance with GAAP to Adjusted EBITDA and Adjusted EBITDA Margin for the periods indicated. (1) Share-based compensation – Incentive Units for the three months ended June 30, 2025, and March 31, 2025, consist only of Incentive Units. Share-based compensation – Incentive Units for the three months ended June 30, 2024, consists only of the NDB Incentive Units. NDB Incentive Units were liability awards resulting in periodic fair value remeasurement prior to the Division. Subsequent to the IPO, any actual cash expense associated with such Incentive Units is borne solely by LandBridge Holdings LLC and not the Company. Distributions attributable to Incentive Units are based on returns received by investors of LandBridge Holdings LLC once certain return thresholds have been met and are neither an obligation of the Company nor taken into consideration for distributions to investors in the Company. (2) Transaction-related expenses consist of non-capitalizable transaction costs associated with both completed or attempted acquisitions, debt amendments and entity structuring charges. Expand Free Cash Flow and Free Cash Flow Margin are used to assess our ability to repay our indebtedness, return capital to our shareholders and fund potential acquisitions without access to external sources of financing for such purposes. We define Free Cash Flow as cash flow from operating activities less investment in capital expenditures. We define Free Cash Flow Margin as Free Cash Flow divided by total revenues. We believe Free Cash Flow and Free Cash Flow Margin are useful because they allow for an effective evaluation of both our operating and financial performance, as well as the capital intensity of our business, and subsequently the ability of our operations to generate cash flow that is available to distribute to our shareholders, reduce leverage or support acquisition activities. The following table sets forth a reconciliation of cash flows from operating activities determined in accordance with GAAP to Free Cash Flow and Free Cash Flow Margin, respectively, for the periods indicated. (1) Operating cash flow margin is calculated by dividing net cash provided by operating activities by total revenue. Expand
Business Wire
23 minutes ago
- Business Wire
Linqto Chapter 11 Case To Remain In Texas
HOUSTON, TX--(BUSINESS WIRE)--Linqto announced today that its voluntary Chapter 11 bankruptcy case will remain in the U.S. Bankruptcy Court in the Southern District of Texas. Judge Alfredo R. Perez rejected Interested Party Sapien Group USA, LLC's motion to move venue to Delaware, stating that Linqto filing in Texas complied with U.S. Bankruptcy law. 'Today's ruling is a win for Linqto's customers and other creditors,' said Samuel Schwartz, lawyer for Linqto and partner at Schwartz PLLC. 'Remaining in Texas will allow for an expedited recovery for creditors and be the most cost-effective approach." Share 'Today's ruling is a win for Linqto's customers and other creditors,' said Samuel Schwartz, lawyer for Linqto and partner at Schwartz PLLC. 'Remaining in Texas will allow for an expedited recovery for creditors and be the most cost-effective approach. We look forward to working with the unsecured creditors committee and all the stakeholders to develop a plan of reorganization and a successful exit from bankruptcy.' Among the voices in support of the need to keep the case in Texas was the unsecured creditors committee which pointed to the significant work that had already been done in this case. About Linqto Linqto is a global investing platform designed to give accredited investors indirect access to investments in private companies and unicorns. Linqto's platform has provided customers with access to a range of pre-IPO companies with an approximate value in excess of $500 million. For more details, visit IMPORTANT LEGAL NOTICE AND DISCLOSURES: This communication does not constitute an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of that jurisdiction.
Business Wire
23 minutes ago
- Business Wire
Choice Properties Real Estate Investment Trust Announces Issuance of $350 million of Series W Senior Unsecured Debentures and $150 million of Series X Senior Unsecured Debentures, and Redemption of $200 million of Series F Senior Unsecured Debentures
TORONTO--(BUSINESS WIRE)--Choice Properties Real Estate Investment Trust ('Choice Properties', the 'Trust' or 'we') (TSX: announced today that it has agreed to issue, on a private placement basis in certain provinces of Canada (the 'Offering'), (i) $350 million aggregate principal amount of series W senior unsecured debentures of the Trust that will bear interest at a rate of 4.628% per annum and will mature on August 8, 2035 (the 'Series W Debentures') and (ii) $150 million aggregate principal amount of series X senior unsecured debentures of the Trust that will bear interest at a rate of 5.369% per annum and will mature on August 8, 2055 (the 'Series X Debentures' and, together with the Series W Debentures, the 'Debentures'). Offering of Debentures The Debentures will be sold at par and are being offered on an agency basis by a syndicate of agents co-led by TD Securities, CIBC Capital Markets, RBC Capital Markets, BMO Capital Markets, and Scotiabank. Subject to customary closing conditions, the Offering is expected to close on August 8, 2025. The Trust intends to use the net proceeds of the Offering to repay existing indebtedness, including the redemption in full of the Trust's $200 million aggregate principal amount of 4.055% series F senior unsecured debentures due November 24, 2025 (the 'Series F Debentures') on September 5, 2025, and for general business purposes. It is a condition of closing of the Offering that the Debentures be rated at least 'BBB' (high) with a 'positive' trend by Morningstar DBRS and at least 'BBB+' by Standard and Poor's Ratings Services. The Debentures will rank equally with all other unsecured indebtedness of the Trust that has not been subordinated. The Debentures being offered have not been registered under the U.S. Securities Act of 1933, as amended, and may not be offered or sold in the United States absent registration or an applicable exemption from the registration requirements. 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 the Debentures in any jurisdiction in which such offer, solicitation or sale would be unlawful. Redemption of Series F Debentures The Trust announced today that it has provided holders of its Series F Debentures a notice of redemption pursuant to which the Trust will redeem the entire outstanding principal amount of the Series F Debentures on September 5, 2025 and has fixed September 4, 2025 as the record date for this redemption. As of the date hereof, there is $200 million aggregate principal amount of the Series F Debentures outstanding. On the redemption date, the Series F Debentures will be redeemed in accordance with their terms at a redemption price per $1,000 principal amount of the Series F Debentures equal to $1,000 plus accrued and unpaid interest to but excluding the redemption date of $11.554, and will thereafter cease to be outstanding. About Choice Properties Real Estate Investment Trust Choice Properties is a leading Real Estate Investment Trust that creates enduring value through places where people thrive. We are more than a national owner, operator and developer of high-quality commercial and residential real estate. We believe in creating spaces that enhance how our tenants and communities come together to live, work, and connect. This includes our industry leadership in integrating environmental, social and economic sustainability practices into all aspects of our business. In everything we do, we are guided by a shared set of values grounded in Care, Ownership, Respect and Excellence. For more information, visit Choice Properties' website at and Choice Properties' issuer profile at Forward-Looking Statements This press release may contain forward-looking information within the meaning of applicable securities legislation, which reflects Choice Properties' current expectations regarding future events, including the expected closing of the Offering, the intended use of proceeds of the Offering and the redemption of the Series F Debentures. Forward-looking information is based on a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond Choice Properties' control that could cause actual results and events to differ materially from those that are disclosed in or implied by such forward-looking information. Such risks and uncertainties include, but are not limited to, the factors discussed in Choice Properties' 2025 Second Quarter Report and current Annual Information Form. Choice Properties does not undertake any obligation to update such forward-looking information, whether as a result of new information, future events or otherwise, except as expressly required by applicable law. All forward-looking statements contained in this press release are made as of the date hereof and are qualified by these cautionary statements.
