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Cision Canada
18 hours ago
- Business
- Cision Canada
AWH Announces Second Quarter 2025 Financial Results
Tenth straight quarter of positive operating cash flow with $17.8 million generated Fully retired $60 million term loan via strategic refinancing Robust cash position of $95.3 million at quarter end NEW YORK, Aug. 7, 2025 /CNW/ - Ascend Wellness Holdings, Inc. ("AWH" or the "Company") (CSE: AAWH.U) (OTCQX: AAWH), a multi-state, vertically integrated cannabis operator, today reported its financial results for the quarter ended June 30, 2025 ("Q2 2025"). Financial results are reported in accordance with U.S. generally accepted accounting principles ("GAAP"), and all currency is in U.S. dollars. Fully repaid the Company's existing $60 million term loan (the "Term Loan") using $10 million of cash on hand and $50 million through a private placement of 12.75% Senior Secured Notes 2 (the "Notes") due July 2029. This transaction represents the final phase of a comprehensive refinancing initiative that began with the $235 million notes offering completed in July 2024 and was supplemented by a $15 million private placement in January 2025. Together, these transactions enhance the Company's financial flexibility, support long-term capital structure management, and preserve one of the longest dated debt maturity profiles currently in the cannabis sector. Grew retail footprint through continued execution of the Company's densification strategy, adding five locations in key markets during the first half of 2025 ("H1 2025"), bringing AWH's total store count, including partner locations, to 44. A strong retail development pipeline remains in place, which is anticipated to progress the Company's medium-term target of 60 total stores, which represents a 50% expansion since launching this goal at the end of 2024 3. Sustained positive operating cash flow for ten straight quarters, supporting a strong balance sheet with $95.3 million in cash and cash equivalents and generating $17.8 million in cash from operations. Commercialized 225 SKUs in H1 2025, with an additional ~300 in flight for the remainder of the year spanning all product formats. The Company continues to focus on expanding shelf presence and driving margin improvement through the rollout of high-margin, in-house branded products across its multi-state footprint. Launched High Wired, a meticulously crafted line of infused flower and pre-roll products designed for seasoned enthusiasts. The brand established a top-selling position in Illinois and Massachusetts following its initial debut and is slated to enter New Jersey in the coming weeks. Repurchased approximately 1.9 million shares of Class A common stock ("Common Shares") in the open market through AWH's normal course issuer bid ("NCIB") share buyback program (the "Buyback Program") in Q2 2025, for a total of approximately 2.7 million Common Shares since its launch in January 2025. The Company intends to continue repurchasing shares, subject to regulatory limits. Subsequent to quarter end, AWH launched its new, fully integrated e-commerce ecosystem: The program includes a redesigned digital shopping platform and app powered by Dutchie, featuring AI-driven personalized product recommendations and pay-by-bank functionality, all within a seamless one-stop experience for browsing, tracking, redeeming, and purchasing. Ascenders Club, the Company's revamped loyalty program, now features a tiered structure with points-based, best-in-class rewards and exclusive member benefits. Q2 2025 Financial Highlights Revenue: Total net revenue was flat quarter-over-quarter, with a slight decrease of 0.5%, to $127.3 million. Retail revenue increased 2.5% quarter-over-quarter to $86.5 million. Wholesale revenue decreased 6.4% quarter-over-quarter to $40.8 million. Net Loss: Net loss of $24.4 million in Q2 2025 compared to net loss of $19.3 million in the first quarter of 2025 ("Q1 2025"). Adjusted EBITDA 1: Adjusted EBITDA 1 was $28.6 million for Q2 2025, representing a 22.4% margin 1. Adjusted EBITDA 1 increased 5.7% quarter-over-quarter and Adjusted EBITDA Margin 1 increased by 130-basis points. Balance Sheet: As of June 30, 2025, cash and cash equivalents were $95.3 million, a sequential decrease of $4.8 million, reflecting the repayment of $10 million in cash and refinancing of $50 million via the Notes to retire the total principal outstanding under the Company's Term Loan. Net Debt 5, which equals total debt less unamortized deferred financing costs less cash and cash equivalents, was $254.3 million. Cash Flow: Generated $17.8 million of Cash from Operations in Q2 2025, representing the tenth consecutive quarter of positive operating cash flow, and Free Cash Flow 6 of $12.1 million. Management Commentary "With the first half of the year behind us, we have taken pivotal steps to fortify our capital structure and position the company for sustained success," said Sam Brill, Chief Executive Officer of AWH. "The retirement of our prior term loan strengthens our balance sheet and extends our financial runway, allowing us to execute on our strategic priorities with greater focus and stability. We remain committed to the initiatives identified in recent quarters that are fueling our transformation and driving improved profitability, such as expanding our vertical margin through retail densification and supporting our store footprint with differentiated products and elevated customer experiences. These foundational efforts support our long-term growth strategy as we enter the second half of the year with strong momentum and a clear roadmap ahead." Frank Perullo, Co-Founder and President of AWH, added, "Q2 delivered strong progress, including the addition of three new stores in key markets and the debut of our new infused brand, High Wired. We also ramped up commercialization of higher-margin, top-selling SKUs, launching 225 in the first half of 2025. Our products continue to gain strong consumer traction, maintaining the number two brand house position by both sales and units across Illinois, Massachusetts, and New Jersey 7 combined for another consecutive quarter. To complement this achievement, we completed the full-scale launch of our new e-commerce ecosystem across our entire footprint. The platform features a completely reimagined tiered loyalty program and mobile app, designed to revolutionize the shopping experience and reward our valued customers with unmatched perks and benefits." Roman Nemchenko, Chief Financial Officer of AWH, concluded, "We continue to build a strong, scalable platform to support disciplined expansion as we work to grow our topline. In addition to paying down debt, we reached a significant milestone by achieving positive operating cash flow for ten consecutive quarters and have driven improvements through strong cost controls. While there is still progress to be made, we are confident that the strategic actions implemented in the first half of the year will continue to yield meaningful results in the near-term and we remain steadily focused on delivering value for our shareholders." Q2 2025 Financial Overview Net revenue was flat at $127.3 million, with a slight decrease of 0.5% sequentially, of which 2.1% resulted from declines in third-party wholesale revenue that was offset by 1.6% attributable to growth in retail revenue. Retail revenue totaled $86.5 million, representing a 2.5% increase compared to the prior quarter, primarily driven by the addition of five stores in H1 2025, along with sustained strong performance in Ohio's adult-use market. This growth was partially offset by ongoing pricing pressure across several markets. Third-party wholesale revenue totaled $40.8 million, a 6.4% decrease from the prior quarter. This reduction was primarily driven by softer sales in Illinois and continued price compression in various markets, offset by an increase in sales in New Jersey. Q2 2025 gross profit was $41.4 million, or 32.5% of revenue, as compared to $39.6 million, or 30.9% of revenue, in Q1 2025. Adjusted Gross Profit 1 was $55.3 million, or 43.4% of revenue, for Q2 2025, as compared to $52.2 million, or 40.8% of revenue, for the prior quarter. This increase was primarily attributable to stronger unit growth and a 260-basis point lift, partially offset by competitive pricing pressures across both retail and wholesale channels. Total general and administrative ("G&A") expenses for Q2 2025 were $42.4 million, or 33.3% of revenue, compared to $37.1 million, or 29.0% of revenue, for Q1 2025. The increase was primarily associated with the expansion of operations, partially offset by a benefit from cost-savings initiatives previously implemented. Net loss attributable to AWH for Q2 2025 was $24.4 million, compared to $19.3 million in Q1 2025, primarily driven by higher G&A expenses, partially offset by a contribution from improved margins and continued cost-saving and operational efficiency initiatives. Adjusted EBITDA 1 was $28.6 million in Q2 2025 compared to $27.0 million for Q1 2025, with an Adjusted EBITDA Margin 1 of 22.4%, a 130-basis point increase over Q1 2025. This improvement was driven by an increase in adjusted gross profit of 260-basis points and the benefits of continued cost-savings initiatives, and was partially offset by continued pricing pressure and slightly higher G&A expenses. Cash and cash equivalents at the end of Q2 2025 were $95.3 million and Net Debt 5 was $254.3 million. Cash from Operations was $17.8 million in Q2 2025, representing the tenth consecutive quarter of positive operating cash flow, and Free Cash Flow 6 was $12.1 million. __________ 1 Measure is a non-GAAP financial measure. Please see "Non-GAAP Financial Information" below and "Reconciliations of Non-GAAP Financial Measures (Unaudited)" at the end of this press release. 2 The Notes form part of the same series of the $250 million aggregate principal amount of the Company's 12.75% senior secured notes due 2029, of which $235 million aggregate principal amount was issued on July 16, 2024 and $15 million aggregate principal amount was issued on January 13, 2025. The Notes were issued at a price of 97.5% of face value pursuant to and governed by a trust indenture entered into as of July 16, 2024, as amended and supplemented by a first supplemental indenture dated as of January 13, 2025. 3 Includes both Company-owned and partner locations. 4 The Company may repurchase up to the lesser of: (i) 10,215,690 shares of the Company's Class A common stock ("Common Shares"); and (ii) $2.25 million worth of Common Shares, in the open market. 5 Net Debt is a non-GAAP financial measure defined as total debt, net of unamortized deferred financing costs of ~$349.6 million, less cash and cash equivalents of $95.3 million as of June 30, 2025. Please see "Non-GAAP Financial Information" below. 6 Free Cash Flow is a non-GAAP financial measure defined as Cash from Operations of $17.8 million less capital expenditures of $5.7 million, which represents total additions to capital assets excluding $0.5 million related to new store builds. Please see "Non-GAAP Financial Information" below. 7 Source: BDSA Non-GAAP Financial Information and Definitions This press release includes certain non-GAAP financial measures as defined by the U.S. Securities and Exchange Commission ("SEC"). Reconciliations of these non-GAAP financial measures to the most directly comparable financial measure calculated and presented in accordance with GAAP are included in the financial schedules attached to this press release or in other information contained herein. This information should be considered as supplemental in nature and not as a substitute for, or superior to, any measure of performance prepared in accordance with GAAP. Adjusted EBITDA/Margin and Adjusted Gross Profit/Margin are non-GAAP financial measures. Please see "Reconciliations of Non-GAAP Financial Measures (Unaudited)" at the end of this release. We define Net Debt as total debt, net of unamortized deferred financing costs, less cash and cash equivalents, which components are disclosed in the Company's Selected Condensed Consolidated Balance Sheet Information (Unaudited) included in the financial schedules attached to this press release under the captions "Current portion of debt, net," "Long-term debt, net,", and "Cash and cash equivalents." We believe this measure is an important indicator of the Company's ability to service its long-term debt obligations. This non-GAAP financial measure should not be considered in isolation of, or as a substitute for, the most directly comparable GAAP financial measures as an indicator of operating performance or liquidity and may not be comparable to similarly titled measures provided by other companies. We define Free Cash Flow as "Net cash provided by operating activities" net of "Additions to capital assets" which are disclosed in the Company's Selected Condensed Consolidated Cash Flow Information (unaudited) included in the financial schedules attached to this press release, adjusted for spending related to new store builds. We use Free Cash Flow measures, among other measures, to evaluate the Company's liquidity and its ability to generate cash flow. We believe that this is a meaningful financial measure to investors because it provides a view of the Company's liquidity after deducting capital expenditures, which are considered to be a necessary component of ongoing operations. This non-GAAP financial measure should not be considered in isolation of, or as a substitute for, net cash provided by operating activities and may not be comparable to similarly titled measures provided by other companies. Conference Call and Webcast AWH will host a conference call on Thursday, August 7, 2025, at 5:00 p.m. ET, to discuss its financial results for the quarter ended June 30, 2025. The call can be accessed by dialing 1-888- 699-1199. A live webcast will be available on the Investor Relations section of AWH's website at and will be archived for replay. The conference call replay can be accessed by phone at 1-888-660-6345, using code: 21204#, and will be available until midnight ET, Thursday, August 14, 2025. About Ascend Wellness Holdings, Inc. AWH is a vertically integrated cannabis operator with assets in Illinois, Maryland, Massachusetts, Michigan, New Jersey, Ohio, and Pennsylvania. AWH owns and operates state-of-the-art cultivation facilities, growing award-winning strains and producing a curated selection of products for retail and wholesale customers. AWH produces and distributes its in-house Simply Herb, Ozone, Ozone Reserve, High Wired, Effin', Common Goods, and Royale branded products. For more information about AWH, visit Additional information relating to the Company's Q2 2025 results is available on the Investor Relations section of AWH's website at the SEC's Electronic Data Gathering, Analysis and Retrieval system ("EDGAR") at and Canada's System for Electronic Document Analysis and Retrieval Plus ("SEDAR+") at This news release includes forward-looking information and statements (together, "forward-looking statements"), which may include, but are not limited to, the plans, intentions, expectations, estimates, and beliefs of the Company. Words such as "expects", "continue", "may", "will", "anticipates", and "intends" or similar expressions are intended to identify forward-looking statements. Without limiting the generality of the preceding statement, all statements in this press release relating to estimated and projected revenue, expectations regarding production capacity, anticipated capital expenditures, expansion, profit, product demand, margins, costs, cash flows, sources of capital, growth rates, potential acquisitions, closing dates for transactions, regulatory approvals, future facility openings, and, enhancing shareholder value, reducing downward pressure on the stock, and future financial and operating results are forward-looking statements. We caution investors that any such forward-looking statements are based on the Company's current projections and expectations about future events and financial trends, the receipt of all required regulatory approvals, and on certain assumptions and analysis made by the Company in light of the experience of the Company and perception of historical trends, current conditions, and expected future developments and other factors management believes are appropriate. Forward-looking statements involve and are subject to assumptions and known and unknown risks, uncertainties, and other factors which may cause actual events, results, performance, or achievements of the Company to be materially different from future events, results, performance, and achievements expressed or implied by forward-looking statements herein. Such factors include, among others, the risks and uncertainties identified in the Company's most recently filed Annual Report on Form 10-K, as updated in subsequently filed Quarterly Reports on Form 10-Q, as applicable, and in the Company's other reports and filings with the applicable Canadian securities administrators on its profile on SEDAR+ at and the SEC on its profile on EDGAR at Although the Company believes that any forward-looking statements herein are reasonable, in light of the use of assumptions and the significant risks and uncertainties inherent in such statements, there can be no assurance that any such forward-looking statements will prove to be accurate, and accordingly readers are advised to rely on their own evaluation of such risks and uncertainties and should not place undue reliance upon such forward-looking statements. Any forward-looking statements herein are made as of the date hereof, and except as required by applicable laws, the Company assumes no obligation and disclaims any intention to update or revise any forward-looking statements herein or to update the reasons that actual events or results could or do differ from those projected in any forward-looking statements herein, whether as a result of new information, future events or results, or otherwise, except as required by applicable laws. No securities regulator nor the Canadian Securities Exchange has reviewed, approved, or disapproved the content of this press release. Three Months Ended June 30, Six Months Ended June 30, (in thousands, except per share amounts) 2025 2024 2025 2024 Revenue, net $ 127,304 $ 141,536 $ 255,301 $ 283,946 Cost of goods sold (85,912) (99,963) (174,348) (190,336) Gross profit 41,392 41,573 80,953 93,610 Operating expenses General and administrative expenses 42,394 43,095 79,469 92,557 Operating (loss) profit (1,002) (1,522) 1,484 1,053 Other (expense) income Interest expense (12,058) (8,535) (23,248) (17,073) Other, net 484 379 961 689 Total other expense (11,574) (8,156) (22,287) (16,384) Loss before income taxes (12,576) (9,678) (20,803) (15,331) Income tax expense (11,831) (12,106) (22,862) (24,616) Net loss $ (24,407) $ (21,784) $ (43,665) $ (39,947) Net loss per share attributable to Class A and Class B common stockholders — basic and diluted $ (0.12) $ (0.10) $ (0.21) $ (0.19) Weighted-average common shares outstanding — basic and diluted 203,866 213,160 204,430 211,057 SELECTED CONDENSED CONSOLIDATED CASH FLOW INFORMATION (UNAUDITED) Three Months Ended June 30, Six Months Ended June 30, (in thousands) 2025 2024 2025 2024 Net cash provided by operating activities $ 17,801 $ 32,254 $ 23,740 $ 36,154 Cash flows from investing activities Additions to capital assets (6,243) (5,357) (12,666) (12,538) Investments in notes receivable — (600) — (600) Collection of notes receivable 82 82 164 8,264 Proceeds from sale of assets 15 — 27 11 Acquisition of businesses, net of cash acquired (2,443) (10,000) (3,461) (10,000) Purchases of intangible assets — (1,000) (500) (4,000) Net cash used in investing activities (8,589) (16,875) (16,436) (18,863) Cash flows from financing activities Proceeds from issuance of debt 48,517 — 63,067 — Repayments of debt (60,335) — (60,335) (786) Debt issuance costs (184) — (360) — Repayments under finance leases (506) (122) (847) (240) Taxes withheld under equity-based compensation plans, net — (4,448) — (5,060) Repurchase of common stock (649) — (994) — Payment of contingent consideration (819) — (819) — Net cash used in financing activities (13,976) (4,570) (288) (6,086) Net (decrease) increase in cash, cash equivalents, and restricted cash (4,764) 10,809 7,016 11,205 Cash, cash equivalents, and restricted cash at beginning of period 100,034 72,904 88,254 72,508 Cash, cash equivalents, and restricted cash at end of period $ 95,270 $ 83,713 $ 95,270 $ 83,713 ASCEND WELLNESS HOLDINGS, INC. SELECTED CONDENSED CONSOLIDATED BALANCE SHEET INFORMATION (UNAUDITED) (in thousands) June 30, 2025 December 31, 2024 Cash and cash equivalents $ 95,270 $ 88,254 Inventory 82,317 89,552 Other current assets 48,067 51,570 Property and equipment, net 277,896 260,461 Operating lease right-of-use assets 124,251 139,067 Intangible assets, net 206,702 205,502 Goodwill 53,996 49,599 Other noncurrent assets 15,368 16,426 Total Assets $ 903,867 $ 900,431 Current portion of debt, net $ 26,145 $ 73,881 Other current liabilities 74,645 70,660 Long-term debt, net 323,437 234,542 Operating lease liabilities, noncurrent 246,102 267,221 Other noncurrent liabilities 205,384 182,326 Total stockholders' equity 28,154 71,801 Total Liabilities and Stockholders' Equity $ 903,867 $ 900,431 ASCEND WELLNESS HOLDINGS, INC. RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES (UNAUDITED) We define "Adjusted Gross Profit" as gross profit excluding non-cash inventory costs, which include depreciation and amortization included in cost of goods sold, equity-based compensation included in cost of goods sold, and other non-cash inventory adjustments. We define "Adjusted Gross Margin" as Adjusted Gross Profit as a percentage of net revenue. Our "Adjusted EBITDA" is a non-GAAP measure used by management that is not defined by GAAP and may not be comparable to similar measures presented by other companies. We define "Adjusted EBITDA Margin" as Adjusted EBITDA as a percentage of net revenue. Management calculates Adjusted EBITDA as the reported net loss, adjusted to exclude: income tax expense, other (income) expense, interest expense, depreciation and amortization, depreciation and amortization included in cost of goods sold, non-cash inventory adjustments, equity-based compensation, equity-based compensation included in cost of goods sold, start-up costs, start-up costs included in cost of goods sold, transaction-related and other non-recurring expenses, and gain or loss on sale of assets. Accordingly, management believes that Adjusted EBITDA provides meaningful and useful financial information, as this measure demonstrates the operating performance of the business. Non-GAAP financial measures may be considered in addition to the results prepared in accordance with GAAP, but they should not be considered a substitute for, or superior to, GAAP results. The Company's presentation of these financial measures may not be comparable to similar non-GAAP measures used by other companies. These financial measures are intended to provide additional information to investors regarding the Company's performance. The following table presents Adjusted Gross Profit for the quarter and six months ended June 30, 2025 and 2024: Three Months Ended June 30, Six Months Ended June 30, ($ in thousands) 2025 2024 2025 2024 Gross Profit $ 41,392 $ 41,573 $ 80,953 $ 93,610 Depreciation and amortization included in cost of goods sold 8,581 7,105 18,281 14,767 Equity-based compensation included in cost of goods sold 164 4,336 1,302 6,547 Non-cash inventory adjustments (1) 5,142 — 6,916 474 Adjusted Gross Profit $ 55,279 $ 53,014 $ 107,452 $ 115,398 Adjusted Gross Margin 43.4 % 37.5 % 42.1 % 40.6 % (1) Consists of write-offs of expired products, obsolete packaging, and net realizable value adjustments related to certain inventory items. The following table presents Adjusted EBITDA for the quarter and six months ended June 30, 2025 and 2024: Three Months Ended June 30, Six Months Ended June 30, ($ in thousands) 2025 2024 2025 2024 Net loss $ (24,407) $ (21,784) $ (43,665) $ (39,947) Income tax expense 11,831 12,106 22,862 24,616 Other, net (484) (379) (961) (689) Interest expense 12,058 8,535 23,248 17,073 Depreciation and amortization 17,830 15,681 36,230 32,061 Non-cash inventory adjustments (1) 5,142 — 6,916 474 Equity-based compensation 288 7,515 1,804 16,195 Start-up costs (2) 3,880 951 4,616 1,445 Transaction-related and other non-recurring expenses (3) 2,405 5,721 4,468 9,604 Loss (gain) on sale of assets 17 — 55 (11) Adjusted EBITDA $ 28,560 $ 28,346 $ 55,573 $ 60,821 Adjusted EBITDA Margin 22.4 % 20.0 % 21.8 % 21.4 % (1) Consists of write-offs of expired products, obsolete packaging, and net realizable value adjustments related to certain inventory items. (2) One-time costs associated with acquiring real estate, obtaining licenses and permits, and other costs incurred before commencement of operations at certain locations, as well as incremental expenses associated with the expansion of activities at our cultivation facilities that are not yet operating at scale, unallocated overhead expenses at certain cultivation facilities, and other expenses resulting from delays in regulatory approvals. Also includes other one-time or non-recurring expenses, as applicable. (3) Other non-recurring expenses including legal and professional fees associated with litigation matters, potential acquisitions, other regulatory matters, and other reserves or one-time expenses. The three and six months ended June 30, 2025 each include approximately $700 of expenses associated with our May 2025 term loans and the six months ended June 30, 2025 includes approximately $400 of expenses associated with our January 2025 term loans. The three and six months ended June 30, 2025 also each include approximately $100 of fair value adjustments associated with acquisition earn-outs. The three and six months ended June 30, 2024 include a reserve of $2,744 and $5,774, respectively, related to certain amounts associated with a previous transaction and $490 and $630, respectively, of fair value adjustments related to an acquisition earn-out. The six months ended June 30, 2024 also includes $984 recognized as a discount on a noncurrent receivable. SOURCE Ascend Wellness Holdings, Inc.
Associated Press
4 days ago
- Business
- Associated Press
Saks Global Announces Early Tender Results of the Exchange Offer and Consent Solicitation
Company to receive $100 million in connection with the Exchange Offer on August 8, 2025 and an additional $200 million subject to certain conditions, completing its previously announced financing package of $600 million Holders of approximately 98% of the aggregate principal amount of the outstanding Old Notes have already tendered in the Exchange Offer and delivered their consents to the proposed amendments NEW YORK, Aug. 4, 2025 /PRNewswire/ -- Saks Global Enterprises LLC ('Saks Global' or the 'Company') today announced the early tender results of the previously announced offer to exchange (the 'Exchange Offer') by Saks Global and SGUS LLC, a Delaware limited liability company and wholly owned subsidiary of Saks Global ('SGUS,' and together with Saks Global, the 'Issuers') any and all of Saks Global's 11.000% Senior Secured Notes due 2029 (the 'Old Notes') for a combination of certain securities as set forth in, and subject to the terms and conditions of, the offering memorandum and consent solicitation statement dated as of July 21, 2025 (as supplemented or otherwise modified from time to time, the 'Offering Memorandum'). As of 5:00 p.m., New York City time, on August 1, 2025 (the 'Early Exchange Time'), the Issuers had received from Eligible Holders (as defined herein) valid and unrevoked tenders and related consents representing approximately 98% of the aggregate principal amount of Old Notes outstanding. At such time, the right to withdraw tenders of Old Notes and related consents expired, and so Old Notes tendered for exchange may not be validly withdrawn and consents may no longer be revoked, unless required by applicable law, or the Issuers determine in the future in their sole discretion to permit withdrawal and revocation rights. Subject to the terms and conditions set forth in the Offering Memorandum, as previously announced, settlement of the Exchange Offer with respect to tenders received as of the Early Exchange Time is expected to occur on August 8, 2025 (the 'Early Settlement Date'). The exchange securities are expected to be delivered on the applicable settlement date through the book-entry facilities of DTC. In connection with the Exchange Offer, on the Early Settlement Date, the Issuers will receive an aggregate of $100 million in gross proceeds from the sale of SPV Notes (as defined in the Offering Memorandum) and will have an additional $200 million in gross proceeds deposited in an escrow account subject to release upon certain conditions. This completes the funding of Saks Global's previously announced up to $600 million in financing commitments. Saks Global expects to capture approximately $100 million of discount upon issuance of the exchange notes and cancellation of the Old Notes validly tendered. Marc Metrick, CEO, Saks Global Operating Group, said, 'This is an exciting milestone for Saks Global, and we are grateful for the ongoing support of our bondholders. With this incremental liquidity, we can now look forward to strengthening our brand partnerships, as well as improving inventory flow to meet customer demand and prepare for the holiday season. Simultaneously, we are continuing to execute on the already successful integration of the legacy Saks Global and Neiman Marcus Group businesses to reduce costs and drive efficiency. Together, these efforts are positioning us to create growth opportunities for our partners, drive long-term value for our stakeholders and further enhance our experience to better meet the evolving needs of our customers.' Each of the Exchange Offer and the concurrent consent solicitation (the 'Consent Solicitation') will expire at 5:00 p.m., New York City time, on August 18, 2025, unless extended or terminated earlier (the 'Expiration Time'). Subject to the tender acceptable procedures described in the Offering Memorandum, Eligible Holders who validly tender Old Notes after the Early Exchange Time and before the Expiration Time will receive the Late Exchange Consideration, as further described in the Offering Memorandum. Settlement of the Exchange Offer with respect to tenders received after the Early Exchange Time but by the Expiration Time, is expected to occur on August 20, 2025. Each participating Eligible Holder must tender all of the Old Notes it holds. Partial tenders of Old Notes will not be accepted. No consideration will be paid for Consents in the Consent Solicitation. The consummation of the Exchange Offer, the Consent Solicitation and the New SPV Notes Issuance (as defined in the Offering Memorandum) are subject to and conditioned upon the satisfaction or waiver by the Issuers of the Requisite Consents Condition and the General Conditions (each as defined in the Offering Memorandum). The Exchange Offer and Consent Solicitation and offer to participate in the New SPV Notes Issuance are being made, and the SPV Notes and Saks Exchange Notes (each as defined in the Offering Memorandum) are only being offered and issued, to holders of Old Notes that are (a) reasonably believed to be 'qualified institutional buyers' as defined in Rule 144A under the Securities Act of 1933, as amended (the 'Securities Act') or (b) persons that are outside of the United States other than 'U.S. persons' as defined in Rule 902 under the Securities Act in offshore transactions in compliance with Regulation S under the Securities Act (such holders, the 'Eligible Holders'). Only Eligible Holders are authorized to receive or review the Offering Memorandum or to participate in the Exchange Offer and Consent Solicitation. None of the SPV Notes, the Saks Exchange Notes or the offering thereof have been or will be registered with the Securities and Exchange Commission under the Securities Act, or the securities laws of any other jurisdiction. The SPV Notes and the Saks Exchange Notes may not be offered or sold in the United States or to any U.S. persons except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the Securities Act. Eligible Holders are urged to carefully read the entire Offering Memorandum, including the information presented under the captions of 'Forward-Looking Statements' and 'Risk Factors' before making any decision with respect to the New SPV Notes Issuance, the Exchange Offer or the Consent Solicitation. None of the Issuers, any subsidiaries of Saks Global, the Exchange Agent (as defined herein), the applicable trustees and collateral agents under the indentures governing the Old Notes, SPV Notes or the Saks Exchange Notes, as applicable, or any of their respective affiliates, makes any recommendation as to whether the Eligible Holders should tender their Old Notes pursuant to the Exchange Offer or deliver consents pursuant to the Consent Solicitation. Each Eligible Holder must make its own decision as to whether to participate in the New SPV Notes Issuance and whether to tender its Old Notes and to deliver Consents. Epiq Corporate Restructuring, LLC has been appointed as the exchange agent (in such capacity, the 'Exchange Agent') and the information agent (in such capacity, the 'Information Agent') for the Exchange Offer and Consent Solicitation. Questions concerning the Exchange Offer and Consent Solicitation may be directed to the Information Agent, in accordance with the contact details shown on the back cover of the Offering Memorandum. About Saks Global Saks Global is the largest multi-brand luxury retailer in the world, comprising Saks Fifth Avenue, Neiman Marcus, Bergdorf Goodman, Saks OFF 5TH, Last Call and Horchow. Its retail portfolio includes 70 full-line luxury locations, additional off-price locations and five distinct e-commerce experiences. With talented colleagues focused on delivering on our strategic vision, The Art of You, Saks Global is redefining luxury shopping by offering each customer a personalized experience that is unmistakably their own. By leveraging the most comprehensive luxury customer data platform in North America, cutting-edge technology, and strong partnerships with the world's most esteemed brands, Saks Global is shaping the future of luxury retail. Saks Global Properties & Investments includes Saks Fifth Avenue and Neiman Marcus flagship properties and represents nearly 13 million square feet of prime U.S. real estate holdings and investments in luxury markets. For more information, follow Saks Global on LinkedIn. No Offer or Solicitation This press release is not intended to and does not constitute an offer to sell or the solicitation of an offer to subscribe for or buy or an invitation to purchase or subscribe for any securities or the solicitation of any vote, consent or approval in any jurisdiction in connection with the New SPV Notes Issuance, the Exchange Offer, the Consent Solicitation or the Transactions (as defined in the Offering Memorandum) or otherwise, nor shall there be any sale, issuance or transfer of securities in any jurisdiction in contravention of applicable law. In particular, this communication is not an offer of securities for sale into the United States. No offer of securities shall be made in the United States absent registration under the Securities Act or pursuant to an exemption from, or in a transaction not subject to, such registration requirements. Forward-Looking Statements Certain statements made herein are forward-looking within the meaning of applicable securities laws, including the Company's current and future plans, expectations and intentions, results, levels of activity, performance, goals or achievements or any other future events or developments. Often, but not always, forward-looking statements can be identified by the forward-looking terminology such as the words 'may,' 'will,' 'expect,' 'believe,' 'estimate,' 'plan,' 'could,' 'should,' 'would,' 'anticipate,' 'foresee,' 'continue,' 'intends,' 'trends,' 'indications,' 'anticipates,' 'predicts,' 'likely' or 'potential' or the negative or other variations of these words or other comparable words or phrases. Forward-looking statements are based on current estimates and assumptions made by the Company in light of its experience and perception of historical trends, current conditions and expected future developments, as well as other factors that it believes are appropriate and reasonable in the circumstances. However, there can be no assurance that such estimates and assumptions will prove to be correct. Many factors could cause our actual results, level of activity, performance, achievements, future events or developments to differ materially from those expressed or implied by the forward-looking statements, including, without limitation, the following factors: These factors are not intended to represent a complete list of the factors that could affect the Company; however, these factors should be considered carefully. The purpose of the forward-looking statements is to provide the reader with a description of management's current expectations regarding the Company's financial performance and may not be appropriate for other purposes; readers should not place undue reliance on forward-looking statements made herein. Furthermore, unless otherwise stated, the forward-looking statements contained in this press release are made as of the date of this press release, and the Company has no intention and undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable securities law. The forward-looking statements contained in this press release are expressly qualified by this cautionary statement. Contacts Copies of all the documents relating to the Exchange Offer and Consent Solicitation may be obtained from the Exchange Agent, subject to confirmation of eligibility through the submission of an eligibility letter, available at Alternatively, you may request the eligibility letter via email to [email protected] (please reference 'Saks Global' in the subject line). View original content to download multimedia: SOURCE Saks Global
Yahoo
30-07-2025
- Automotive
- Yahoo
Will Carvana Continue to Build on Its Cash Flow Strength in 2025?
Carvana's CVNA primary sources of operating cash flows are derived from the sale of retail vehicles, wholesale vehicles, originated loans and complementary products, including vehicle service contracts, GAP waiver coverage and other related offerings. The main uses of cash in operating activities include inventory purchases, personnel-related expenses and customer acquisition costs. For the years ended Dec. 31, 2024 and 2023, Carvana generated $918 million and $803 million in cash from operating activities, respectively. The $115 million year-over-year increase was largely driven by improved operating performance and a $274 million reduction in interest paid, attributed to higher paid-in-kind (PIK) interest on the Senior Secured Notes in 2024. PIK allows companies to conserve cash in the near term and is commonly utilized by rapidly growing 2024, Carvana's operating performance strengthened due to higher unit sales and record annual revenues, leading to significant profitability milestones. The used car retailer reported an all-time high net income, adjusted EBITDA and GAAP operating income. Carvana anticipates sequential growth in both retail units sold and adjusted EBITDA in the second quarter, projecting new all-time company records for both measures. Expected improvement in the company's operating performance will continue to drive its operating cash addition to operating cash flows, Carvana generates cash through financing activities, including short-term revolving inventory and finance receivable facilities, real estate and equipment financing, debt issuances and equity offerings. Historically, these financing activities have supported the company's growth, market expansion and strategic initiatives and this trend is expected to continue. Cash provided by and used in financing activities totaled $261 million in 2024 and $868 million in 2023. CVNA carries a Zacks Rank #3 (Hold) at present. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Cash Flow Performance of CVNA's Competitors In 2024, Group 1 Automotive, Inc. GPI reported a $396.1 million increase in net cash provided by operating activities compared to the prior year. However, on an adjusted basis, Group 1's operating cash flow declined $36.9 million due to a $103.5 million drop in net income and a $440.1 million reduction in floorplan notes Motors, Inc. LAD reported a $897.5 million year-over-year rise in operating cash flow in 2024, driven by its maturing financing receivables portfolio and lower inventory levels at more established locations. Lithia's current free cash flow deployment strategy allocates 35-45% toward acquisitions, 25% toward capital expenditures, innovation and diversification and 30-40% toward shareholder returns through dividends and share repurchases. Carvana's Price Performance, Valuation and Estimates Carvana has outperformed the Zacks Internet – Commerce industry year to date. CVNA shares have surged 65.4% compared with the industry's growth of 11.4%. YTD Price Performance Image Source: Zacks Investment Research From a valuation perspective, Carvana appears overvalued. Going by its price/sales ratio, the company is trading at a forward sales multiple of 3.46, higher than its industry's 2.17. Image Source: Zacks Investment Research EPS Estimates Revision The Zacks Consensus Estimate for 2025 and 2026 EPS has moved up 5 cents and 8 cents, respectively, in the past seven days. Image Source: Zacks Investment Research Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Group 1 Automotive, Inc. (GPI) : Free Stock Analysis Report Lithia Motors, Inc. (LAD) : Free Stock Analysis Report Carvana Co. (CVNA) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Erreur lors de la récupération des données Connectez-vous pour accéder à votre portefeuille Erreur lors de la récupération des données Erreur lors de la récupération des données Erreur lors de la récupération des données Erreur lors de la récupération des données
Business Wire
29-07-2025
- Business
- Business Wire
LSB Industries, Inc. Reports Operating Results for the 2025 Second Quarter
OKLAHOMA CITY--(BUSINESS WIRE)--LSB Industries, Inc. (NYSE: LXU) ('LSB,' 'we,' 'us,' 'our,' or the 'Company') today announced results for the second quarter ended June 30, 2025. Second Quarter 2025 Results and Recent Highlights Net sales of $151.3 million compared to $140.1 million in the second quarter of 2024 Net income of $3.0 million compared to a net income of $9.6 million in the second quarter of 2024 Diluted EPS of $0.04 compared to $0.13 for the second quarter of 2024 Adjusted EBITDA (1) of $38.3 million compared to $41.9 million in the second quarter of 2024 of $38.3 million compared to $41.9 million in the second quarter of 2024 Repurchased $32.4 million in principal amount of Senior Secured Notes during the second quarter of 2025 Total cash, cash equivalents and short-term investments of approximately $124.9 million and total debt of $452.6 million as of June 30, 2025 Zero recordable injuries for second quarter and first half of 2025 'We generated a 6% year-over-year increase in sales volumes during the second quarter,' stated Mark Behrman, LSB Industries' Chairman & Chief Executive Officer. 'Our reliability and operational improvement measures enabled us to increase our ammonia production volume as compared to last year's second quarter. As a result, we achieved healthy year-over-year growth in both production and sales volumes of higher margin upgraded products. We also saw stronger selling prices for UAN. Similar to the first quarter, however, we experienced materially higher natural gas prices relative to the prior year period when natural gas prices were at multi-year low levels. These higher gas input costs offset the higher selling prices and the operating improvements we made. We expect gas costs to be less of a year-over-year headwind in the third quarter.' 'Demand dynamics across our end markets are favorable as tight inventories and global supply disruptions have contributed to robust pricing, particularly for UAN, which is well above year-ago levels. On the industrial side of our business, our sales volumes have benefited from strong end market demand for nitric acid, as well as for ammonium nitrate, which is benefiting from a surge in U.S. copper mining activity.' 'Our low carbon project at our El Dorado facility remains on track to be operational by the end of 2026. The main gating item continues to be the approval of our Class VI permit application by the EPA. In June, our partner Lapis Low Carbon Solutions ('Lapis') completed the drilling of a stratigraphic injection well at El Dorado. Lapis is using the well to gather data to support the EPA in their technical review of our application. Once the project receives EPA approval, we will use this same well for CO 2 injections, enabling us to be efficient in completing the project and beginning the sequestration of CO 2 .' 'We further de-risked our balance sheet and reduced our future interest expense by repurchasing debt during the second quarter. We also continued to make investments in the reliability of our plants as well as in projects that we expect to enhance our financial performance and visibility in the coming quarters. We believe our multi-pronged approach to capital allocation helps us maintain our financial flexibility while positioning us to maximize our profitability and cash flow, ultimately leading to increased shareholder value.' (1) Adjusted EBITDA and EBITDA are non-GAAP financial measures. Please see the discussion below under the heading 'Non-GAAP Reconciliations' and the reconciliations at the end of this release for additional information concerning these and other non-GAAP financial measures. Expand Market Outlook Our industrial business remains consistent, reflecting: Robust demand for nitric acid domestically with limited export exposure Demand for ammonium nitrate (AN) for use in commercial mining explosives is robust across all commodities, particularly copper and gold Demand for AN is also benefiting from quarrying/aggregate production for infrastructure upgrade and expansion Our ammonia market is healthy and pricing remains at attractive levels driven by: Well balanced distribution channel inventories Supply disruptions from the Middle East Higher cost of production in Europe Continued delays in startup of new production capacity in the U.S. UAN pricing has strengthened due to: Steady exports, lower imports and strong demand, resulting in tight U.S. supply fundamentals Updraft from strong urea market resulting from robust global demand Corn market dynamics supportive of strong fertilizer demand: USDA's recent outlook for U.S. corn calls for greater exports and lower ending stocks Expectations for U.S. corn acres planted in Spring 2025 to be above historical average levels Low Carbon Ammonia Project Summary El Dorado Carbon Capture and Sequestration (CCS) Project with Lapis Carbon Solutions Expect to capture and sequester between 400,000 and 500,000 metric tons of CO 2 per year, which would reduce our Scope 1 emissions by 25%, yielding between 305,000 and 380,000 metric tons per year of low carbon ammonia Awaiting EPA approval of Class VI permit application to commence construction Completed stratigraphic well in June to provide data to support EPA in review of Class VI application Expect to begin operations by the end of 2026 Second Quarter Results Overview Three Months Ended June 30, 2025 2024 % Change Product Sales (In Thousands) AN & Nitric Acid $ 61,707 $ 58,442 6 % Urea ammonium nitrate (UAN) 52,262 42,808 22 % Ammonia 26,830 28,448 (6 )% Other 10,497 10,375 1 % Total net sales $ 151,296 $ 140,073 Expand Comparison of Second Quarter of 2025 to 2024: Net sales increased during the second quarter of 2025 due to higher sales volumes of UAN and AN and higher pricing for UAN. Operating income was lower in the second quarter of 2025, compared to operating income for the second quarter of 2024 due largely to higher natural gas costs. Higher natural gas prices also contributed to the year-over-year decrease in adjusted EBITDA. The following tables provide key sales metrics for our products: Three Months Ended June 30, Key Product Volumes (short tons sold) 2025 2024 % Change AN & Nitric Acid 161,509 147,619 9 % Urea ammonium nitrate (UAN) 151,807 137,499 10 % Ammonia 66,069 72,294 (9 )% 379,385 357,412 6 % Expand Average Selling Prices (price per short ton) (A) AN & Nitric Acid $ 328 $ 337 (3 )% Urea ammonium nitrate (UAN) $ 308 $ 271 14 % Ammonia $ 369 $ 368 0 % Expand (A) Average selling prices represent 'net back' prices which are calculated as sales less freight expenses divided by product sales volume in tons. Please see the discussion below under the heading 'Ammonia, AN, Nitric Acid, UAN Sales Price Reconciliation' and the reconciliations at the end of this release for additional information concerning this financial measure. Expand Three Months Ended June 30, Average Benchmark Prices (price per ton) 2025 2024 % Change Tampa Ammonia Benchmark $ 416 $ 440 (5 )% NOLA UAN $ 344 $ 246 40 % Expand Three Months Ended June 30, 2025 2024 % Change Input Costs Average natural gas cost/MMBtu in cost of materials and other $ 3.50 $ 1.70 106 % Average natural gas cost/MMBtu used in production $ 3.37 $ 1.92 76 % Expand Conference Call LSB's management will host a conference call on Wednesday, July 30, 2025 at 10:00 am ET / 9:00 am CT to discuss second quarter 2025 results and recent corporate developments. Participating in the call will be Chairman & Chief Executive Officer, Mark Behrman, Executive Vice President & Chief Financial Officer, Cheryl Maguire and Executive Vice President & Chief Commercial Officer, Damien Renwick. Interested parties may participate in the call by dialing (877) 407-6176 / (201) 689-8451. Please call in 10 minutes before the conference is scheduled to begin and ask for the LSB conference call. A webcast of the call, along with a slide presentation that coincides with management's prepared remarks, will be available in the Investors section of LSB's website, at The webcast can be found under Events & Presentations. If you are unable to listen to the live call, the conference call webcast will be archived on LSB's website. LSB Industries, Inc. LSB Industries, Inc., headquartered in Oklahoma City, Oklahoma, is committed to playing a leadership role in the production of low and no carbon products that build, feed and power the world. The LSB team is dedicated to building a culture of excellence in customer experiences as we currently deliver essential products across the agricultural, industrial, and mining end markets and, in the future, the energy markets. The company manufactures ammonia and ammonia-related products at facilities in Cherokee, Alabama, El Dorado, Arkansas and Pryor, Oklahoma and operates a facility for a global chemical company in Baytown, Texas. Additional information about LSB can be found on our website at Forward-Looking Statements 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, include, but are not limited to, statements regarding: our business strategy; anticipated future operating results and operating expenses, cash flows, capital resources and liquidity; trends, opportunities and risks affecting our business, industry and financial results; our ability to successfully leverage our existing business platform and portfolio of assets to produce low carbon products and execute our strategy to become a leader in the energy transition in the chemical industry; the impact of trade policy on our business; the availability of raw materials; production volumes at our production facilities; and the anticipated cost and timing of our capital projects, including turnarounds. Forward-looking statements can generally be identified by words or phrases such as 'anticipate,' 'believe,' 'could,' 'estimate,' 'expect,' 'will,' 'may,' 'plan,' 'potential,' 'should,' 'would,' and similar words or phrases, as well as by discussions of strategy, plans or intentions. 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 or actual achievements to differ materially from the results, level of activity, performance or anticipated achievements expressed or implied by the forward-looking statements. Significant risks and uncertainties relate to, but are not limited to, business and market disruptions; market conditions and price volatility for our products and feedstocks; global and regional economic downturns that adversely affect the demand for our end-use products; disruptions in production at our manufacturing facilities; increased competitive pressures; our ability to fund the working capital and expansion of our businesses; recruiting and retaining skilled and qualified personnel; our ability to obtain necessary raw materials and purchased components; material increases in cost of raw materials; obtaining and maintaining necessary permits; and other financial, economic, competitive, environmental, political, legal and regulatory factors, including tariffs. These and other risk factors are discussed in the Company's filings with the Securities and Exchange Commission, including but not limited to our most recent Annual Report on Form 10-K. 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 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. LSB Industries, Inc. Consolidated Statements of Operations (Unaudited) Three Months Ended June 30, Six Months Ended June 30, 2025 2024 2025 2024 (In Thousands, Except Per Share Amounts) Net sales $ 151,296 $ 140,073 $ 294,728 $ 278,277 Cost of sales 128,123 112,658 257,171 228,584 Gross profit 23,173 27,415 37,557 49,693 Selling, general and administrative expense 9,844 11,547 19,997 21,841 Other expense, net 2,836 1,465 2,599 2,189 Operating income 10,493 14,403 14,961 25,663 Interest expense, net 7,886 8,385 15,950 18,114 Loss (gain) on extinguishment of debt 59 (1,879 ) 59 (3,013 ) Non-operating other income, net (1,542 ) (2,908 ) (3,215 ) (6,469 ) Income before income taxes 4,090 10,805 2,167 17,031 Provision for income taxes 1,084 1,250 801 1,853 Net income $ 3,006 $ 9,555 $ 1,366 $ 15,178 Net income per common share: Basic: Net income $ 0.04 $ 0.13 $ 0.02 $ 0.21 Diluted: Net income $ 0.04 $ 0.13 $ 0.02 $ 0.21 Expand LSB Industries, Inc. Consolidated Balance Sheets (Information at June 30, 2025 is unaudited) June 30, 2025 December 31, 2024 (In Thousands) Assets Current assets: Cash and cash equivalents $ 5,614 $ 20,230 Short-term investments 119,278 163,971 Accounts receivable 51,653 39,083 Allowance for doubtful accounts (364 ) (323 ) Accounts receivable, net 51,289 38,760 Inventories: Finished goods 22,635 22,382 Raw materials 1,812 2,519 Total inventories 24,447 24,901 Supplies, prepaid items and other: Prepaid insurance 5,925 14,345 Precious metals 13,198 11,596 Supplies 32,834 31,995 Other 2,627 3,916 Total supplies, prepaid items and other 54,584 61,852 Total current assets 255,212 309,714 Property, plant and equipment, net 838,035 847,570 Other assets: Operating lease assets 33,623 28,727 Intangible and other assets, net 1,213 1,177 Total other assets 34,836 29,904 Total assets $ 1,128,083 $ 1,187,188 Expand LSB Industries, Inc. Consolidated Balance Sheets (continued) (Information at June 30, 2025 is unaudited) June 30, 2025 December 31, 2024 (In Thousands) Liabilities and Stockholders' Equity Current liabilities: Accounts payable $ 59,577 $ 83,498 Short-term financing 4,127 12,146 Accrued and other liabilities 26,555 30,874 Current portion of long-term debt 6,252 9,116 Total current liabilities 96,511 135,634 Long-term debt, net 446,370 476,163 Noncurrent operating lease liabilities 26,327 21,387 Other noncurrent accrued and other liabilities 456 456 Deferred income taxes 62,619 61,908 Stockholders' equity: Common stock, $.10 par value per share; 150 million shares authorized, 91.2 million shares issued 9,117 9,117 Capital in excess of par value 503,496 504,578 Retained earnings 209,028 207,662 721,641 721,357 Less treasury stock, at cost: Common stock, 19.2 million shares (19.5 million shares at December 31, 2024) 225,841 229,717 Total stockholders' equity 495,800 491,640 Total liabilities and stockholders' equity $ 1,128,083 $ 1,187,188 Expand Non-GAAP Reconciliations To supplement our financial information presented in accordance with generally accepted accounting principles in the United States ('GAAP'), we present certain non-GAAP financial measures in this press release and on the related teleconference call. EBITDA and Adjusted EBITDA Reconciliation Management uses EBITDA and adjusted EBITDA as supplemental measures to review and assess the performance of our core business operations and for planning purposes. EBITDA is defined as net income (loss) plus interest expense and interest income, net, less gain on extinguishment of debt, plus depreciation and amortization ('D&A') (which includes D&A of property, plant and equipment and amortization of intangible and other assets), plus provision (benefit) for income taxes. Adjusted EBITDA is reported to show the impact of non-cash stock-based compensation, one time/non-cash or non-operating items, such as, one-time income or fees, loss (gain) on sale of a business and/or other property and equipment, certain fair market value ('FMV') adjustments, and consulting costs associated with reliability and purchasing initiatives. We historically have performed turnaround activities on an annual basis; however, we have moved towards extending turnarounds to a two or three-year cycle. Rather than being capitalized and amortized over the period of benefit, our accounting policy is to recognize the costs as incurred. Given these turnarounds are essentially investments that provide benefits over multiple years, they are not reflective of our operating performance in a given year. We believe that certain investors consider EBITDA a useful means of measuring our ability to meet our debt service obligations and evaluating our financial performance. In addition, we believe that certain investors consider adjusted EBITDA as more meaningful to further assess our performance. We believe that the inclusion of supplementary adjustments to EBITDA is appropriate to provide additional information to investors about certain items. EBITDA and adjusted EBITDA have limitations and should not be considered in isolation or as a substitute for net income, operating income, cash flow from operations or other consolidated income or cash flow data prepared in accordance with GAAP. Because not all companies use identical calculations, this presentation of EBITDA and adjusted EBITDA may not be comparable to similarly titled measures of other companies. The following table provides a reconciliation of net income (loss) to EBITDA and adjusted EBITDA for the periods indicated. Non-GAAP Reconciliations (continued) LSB Consolidated Three Months Ended June 30, 2025 2024 ($ In Thousands) Net (loss) income $ 3,006 $ 9,555 Plus: Interest expense and interest income, net 6,307 5,445 Gain (loss) on extinguishment of debt 59 (1,879 ) Depreciation and amortization 20,682 18,784 Provision for income taxes 1,084 1,250 EBITDA $ 31,138 $ 33,155 Stock-based compensation 2,088 2,099 Legal Fees & Settlements - Specific Matters (207 ) 1,229 Loss on write down of assets 2,528 1,489 Turnaround costs 2,639 3,439 Growth Initiatives 90 485 Adjusted EBITDA $ 38,276 $ 41,896 Expand Ammonia, AN, Nitric Acid, UAN Sales Price Reconciliation The following table provides a reconciliation of total identified net sales as reported under GAAP in our condensed consolidated financial statements reconciled to netback sales which is calculated as net sales less freight and other non-netback costs. We believe this provides a relevant industry comparison among our peer group. Three Months Ended June 30, 2025 2024 (In Thousands) Ammonia, AN, Nitric Acid, UAN net sales $ 140,799 $ 129,698 Less freight and other 16,841 16,074 Ammonia, AN, Nitric Acid, UAN netback sales $ 123,958 $ 113,624 Expand
Yahoo
28-07-2025
- Business
- Yahoo
Community Health Systems, Inc. Announces Increase in Tender Cap for 5.625% Senior Secured Notes Due 2027
FRANKLIN, Tenn., July 28, 2025--(BUSINESS WIRE)--Community Health Systems, Inc. (the "Company") (NYSE: CYH) today announced that its wholly owned subsidiary, CHS/Community Health Systems, Inc. (the "Issuer"), has increased the principal amount of the Issuer's approximately $1,757 million aggregate principal amount outstanding 5.625% Senior Secured Notes due 2027 (the "2027 Notes") that it can repurchase under its previously announced cash tender offer (the "Tender Offer") from $1,470 million to $1,757 million, on the terms and subject to the conditions set forth in the Issuer's Offer to Purchase dated July 28, 2025 (the "Offer to Purchase"). Consistent with amending the Tender Cap, the Issuer has amended the financing condition of the Tender Offer to provide that the Issuer's obligation to accept for purchase, and to pay for, 2027 Notes validly tendered and not validly withdrawn is subject to the satisfaction or waiver of certain conditions, including, among other things, the condition that the Issuer has completed a debt financing on terms and conditions satisfactory to it yielding gross cash proceeds of $1,790 million or more. The complete terms and conditions of the Tender Offer is set forth in the Offer to Purchase. The Issuer has retained Citigroup Global Markets Inc. to act as dealer manager in connection with the Tender Offer. Questions about the Tender Offer may be directed to Citigroup Global Markets Inc. at (800) 558-3745 (toll free) or (212) 723-6106 (collect). Copies of the Tender Offer documents and other related documents may be obtained from Global Bondholder Services Corporation, the depositary and information agent for the Tender Offer, at (855) 654-2015 (toll free) or (212) 430-3774 (collect) or email contact@ The Tender Offer is being made solely by means of the Tender Offer documents. Under no circumstances shall this press release constitute an offer to purchase or sell or the solicitation of an offer to purchase or sell the 2027 Notes or any other securities of the Issuer or any other person, nor shall there be any offer or sale of any 2027 Notes or other securities in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. In addition, nothing contained herein constitutes a notice of redemption of the 2027 Notes. No recommendation is made as to whether holders of the 2027 Notes should tender their 2027 Notes. Forward-Looking Statements This press release may include information that could constitute forward-looking statements. These statements involve risk and uncertainties. The Company undertakes no obligation to revise or update any forward-looking statements, or to make any other forward-looking statements, whether as a result of new information, future events or otherwise, except as otherwise required by law. View source version on Contacts Investor Contacts: Kevin J. Hammons, 615-465-7000President and Chief Financial OfficerorAnton Hie, 615-465-7012Vice President – Investor Relations Media Contact: Tomi Galin, 615-628-6607Executive Vice President, Corporate Communications, Marketing and Public Affairs
