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Enghouse Releases First Quarter Results

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MARKHAM, ON, March 10, 2025 /CNW/ – Enghouse Systems Limited (TSX: ENGH) announces first quarter (unaudited) financial results for the period ended January 31, 2025. All figures are denominated in Canadian dollars unless otherwise indicated.

Revenue increased 2.9% to $124.0 million from $120.5 million in Q1 2024;Recurring revenue, which includes SaaS and maintenance services, grew 4.0% to $87.9 million compared to $84.6 million in Q1 2024, and represents 70.9% of total revenue, as we continue to prioritize this revenue stream;Results from operating activities decreased to $31.0 million compared to $32.6 million in Q1 2024;Net income was $21.9 million compared to $18.1 million in Q1 2024, as we grow our business with a focus on profitability;Adjusted EBITDA decreased to $33.1 million compared to $34.7 million, while achieving a 26.7% margin;Cash flow from operating activities, excluding changes in working capital, was $37.7 million compared to $35.6 million in the comparable period. Cash, cash equivalents and short-term investments were $271.1 million as at January 31, 2025.

The most recent quarter has brought about events that have created a great deal of uncertainty across the globe. There are new questions around trade flows, interest rates, commodity prices and other factors which point to increasing instability. Throughout this period, our first quarter operating performance continued its consistent positive trend and reflects our steady and disciplined approach to the business. In the quarter we achieved revenue of $124.0 million, representing a 2.9% increase compared to the prior year, while net income increased by 20.8% to $21.9 million or $0.40 per diluted share from $18.1 million or $0.33 per diluted share in the comparative quarter.

We remain focused on predictable recurring revenue streams with SaaS and maintenance services revenue increasing by 4.0% in the quarter. While transitioning from exclusively offering traditional on-premise solutions, we are strategically committed to offering customers a choice between on-premise and cloud solutions, which has allowed us to preserve both one-time and recurring revenue streams.

Cash flows from operating activities, excluding changes in working capital, were $37.7 million compared to $35.6 million in the prior year. During the first quarter we returned $14.4 million to shareholders through dividends and repurchased $6.0 million of our common shares. In addition, on December 16, 2024, Enghouse completed the acquisition of Aculab PLC, which provides a cutting-edge suite of solutions designed to elevate communication and security experiences, including AI-driven answering machine detection and advanced voice and face biometric technology. Even with these outflows, Enghouse closed the quarter with $271.1 million in cash, cash equivalents and short-term investments, down only marginally from our record of $274.7 million at October 31, 2024. We continue to have no external debt financing.

On March 4, 2025, the Company announced the acquisition of Margento R&D d.o.o., a European provider of transit fare collection, account-based ticketing, automatic vehicle tracking, and payment solutions based in Slovenia. Margento has a scalable and easy to deploy Mobility as a Service platform providing a unique user-centric mobile transit experience. This will augment our existing transportation offerings in the Asset Management Group.

Our strategic direction remains consistent and focused on long-term profitability and sustainability.  We will continue to balance market demand by offering both SaaS and on-premise solutions and will not sacrifice profitability for revenue growth, which is reaffirmed by our ability to generate positive cash flows. Our robust cash position continues to allow us to capitalize on acquisitions that meet our thresholds and provide continued returns to our shareholders, also enabling us to increase our annual dividend for the 17th consecutive year.  

Quarterly dividends:          

Today, the Board of Directors approved an increase of 15.4% in the Company’s eligible quarterly dividend to $0.30 per common share, payable on May 30, 2025, to shareholders of record at the close of business on May 16, 2025.

Enghouse Systems Limited
Financial Highlights
(unaudited, in thousands of Canadian dollars)

For the periods ended January 31

Three months

2025

2024

Var ($)

Var (%)

Revenue

$     124,000

$     120,489

3,511

2.9

Direct costs

44,463

41,582

2,881

6.9

Revenue, net of direct costs

$

79,537

$

78,907

630

0.8

As a % of revenue

64.1 %

65.5 %

Operating expenses

48,457

46,180

2,277

4.9

Special charges

91

91

0

0.0

Results from operating activities

$

30,989

$

32,636

(1,647)

(5.0)

As a % of revenue

25.0 %

27.1 %

Amortization of acquired software and customer relationships

(8,479)

(10,374)

1,895

18.3

Foreign exchange gains (losses)

2,309

(1,717)

4,026

234.5

Interest expense – lease obligations

(128)

(150)

22

14.7

Finance income

2,304

2,361

(57)

(2.4)

Finance expenses

(3)

( 3)

Other income (expense)

299

(114)

413

362.3

Income before income taxes

$

27,291

$

22,642

4,649

20.5

Provision for income taxes

5,387

4,509

878

19.5

Net income for the period

$

21,904

$

18,133

3,771

20.8

Basic earnings per share

0.40

0.33

0.07

21.2

Diluted earnings per share

0.40

0.33

0.07

21.2

Cash flows from operating activities

21,249

19,899

1,350

6.8

Cash flows from operating activities excluding changes in working capital

37,741

35,557

2,184

6.1

Adjusted EBITDA

Results from operating activities

30,989

32,636

(1,647)

(5.0)

Depreciation

653

494

159

(32.2)

Depreciation of right-of-use assets

1,378

1,506

(128)

8.5

Special charges

91

91

0

0.0

Adjusted EBITDA

$

33,111

$

34,727

(1,616)

(4.7)

Adjusted EBITDA margin

26.7 %

28.8 %

Adjusted EBITDA per diluted share

$

0.60

$

0.63

( 0.03)

(4.8)

 

Condensed Consolidated Interim Statements of Financial Position

(in thousands of Canadian dollars)

(unaudited)

   As at January 31,
2025

As at October 31,
2024

ASSETS

Current assets:

   Cash and cash equivalents

$

270,304

$

274,240

   Short-term investments

784

487

   Accounts receivable

114,592

92,348

   Prepaid expenses and other assets

19,061

16,100

404,741

383,175

Non-current assets:

   Property and equipment

4,059

4,192

   Right-of-use assets

11,771

11,473

   Intangible assets

96,552

98,594

   Goodwill

320,997

309,831

   Deferred income tax assets

27,273

26,228

460,652

450,318

$

865,393

$

833,493

LIABILITIES AND SHAREHOLDERS’ EQUITY

Current liabilities:

   Accounts payable and accrued liabilities

$

67,970

$

70,087

   Income taxes payable

7,849

5,525

   Dividends payable

14,340

14,397

   Provisions

1,777

1,834

   Deferred revenue

132,397

114,080

   Lease obligations

5,381

5,344

229,714

211,267

Non-current liabilities:

   Deferred income tax liabilities

10,486

10,500

   Deferred revenue

9,903

8,094

   Net employee defined benefit obligation

2,075

2,081

   Lease obligations

6,115

5,744

28,579

26,419

258,293

237,686

Shareholders’ equity

   Share capital

117,750

118,217

   Contributed surplus

9,878

9,764

   Retained earnings

448,823

446,748

   Accumulated other comprehensive income

30,649

21,078

607,100

595,807

$

865,393

$

833,493

 

Condensed Consolidated Interim Statements of Operations and Comprehensive Income

(in thousands of Canadian dollars, except per share amounts)

(unaudited)                                            

Three months

Periods ended January 31

2025

2024

Revenue

     Software licenses

$  17,781

$  16,975

     SaaS and maintenance services

87,932

84,587

     Professional services

16,108

15,945

     Hardware

2,179

2,982

124,000

120,489

Direct costs

     Software licenses

736

674

     Services

42,497

39,531

     Hardware

1,230

1,377

44,463

41,582

Revenue, net of direct costs

79,537

78,907

Operating expenses

     Selling, general and administrative

23,636

22,869

     Research and development

22,790

21,311

     Depreciation

653

494

     Depreciation of right-of-use assets

1,378

1,506

     Special charges

91

91

48,548

46,271

Results from operating activities

30,989

32,636

Amortization of acquired software and customer relationships   

(8,479)

(10,374)

Foreign exchange gains (losses)

2,309

(1,717)

Interest expense – lease obligations

(128)

(150)

Finance income

2,304

2,361

Finance expenses

(3)

Other income (expense)

299

(114)

Income before income taxes

27,291

22,642

Provision for income taxes

5,387

4,509

Net income for the period

$  21,904

$  18,133

Items that may be subsequently reclassified to income:

Cumulative translation adjustment

9,571

(8,017)

Other comprehensive income (loss)

9,571

(8,017)

Comprehensive income

$  31,475

$  10,116

Earnings per share

Basic

$      0.40

$      0.33

Diluted

$      0.40

$      0.33

 

Condensed Consolidated Interim Statements of Cash Flows

(in thousands of Canadian dollars)

(unaudited)

Three months

Periods ended January 31

2025

2024

OPERATING ACTIVITIES

Net income for the period

$    21,904

$    18,133


Adjustments for non-cash items

   Depreciation

653

494

   Depreciation of right-of-use assets

1,378

1,506

   Interest expense – lease obligations

128

150

   Amortization of acquired software and customer relationships

8,479

10,374

   Stock-based compensation expense

108

277

   Provision for income taxes

5,387

4,509

   Finance expenses and other (income) expense

(296)

114

37,741

35,557

Changes in non-cash operating working capital

(11,891)

(13,140)

Income taxes paid

(4,601)

(2,518)

Net cash provided by operating activities

21,249

19,899

INVESTING ACTIVITIES

Net purchase of property and equipment

(404)

(360)

Acquisitions, net of cash acquired*

(6,586)

Recovery of purchase consideration for prior-year acquisitions

171

Net cash used in investing activities

(6,990)

(189)

FINANCING ACTIVITIES

Issuance of share capital

4,310

Normal course issuer bid share repurchases

(5,950)

Repayment of lease obligations

(1,374)

(1,602)

Dividends paid

(14,397)

(12,156)

Net cash used in financing activities

(21,721)

(9,448)

Impact of foreign exchange on cash and cash equivalents

3,526

(3,042)

(Decrease) increase in cash and cash equivalents

(3,936)

7,220

Cash and cash equivalents ─ beginning of period

274,240

239,532

Cash and cash equivalents ─ end of period

$  270,304

$  246,752

*Acquisitions are net of cash acquired of $2,620 for the three months ended January 31, 2025 and nil for the three months ended January 31, 2024.

Enghouse Systems Limited
Segment Reporting Information
(in thousands of Canadian dollars)

Three months ended January 31

2025

2024

IMG

AMG

Total

IMG

AMG

Total

Revenue

$

73,221

$

50,779

$

124,000

$

76,137

$

44,352

$

120,489

Direct costs

(25,713)

(18,750)

(44,463)

(25,406)

(16,176)

(41,582)

Revenue, net of direct costs

47,508

32,029

79,537

50,731

28,176

78,907

Operating expenses excluding special charges

(22,602)

(11,978)

(34,580)

(21,425)

(11,697)

(33,122)

Depreciation

(402)

(251)

(653)

(377)

(117)

(494)

Depreciation of right-of-use assets

(909)

(469)

(1,378)

(936)

(570)

(1,506)

Segment profit

$

23,595

$

19,331

$

42,926

$

27,993

$

15,792

$

43,785

Special charges

(91)

(91)

Corporate and shared service expenses

(11,846)

(11,058)

Results from operating activities

$

30,989

$

32,636

About Enghouse

Enghouse is a Canadian publicly traded company (TSX: ENGH) that provides a wide range of mission critical vertically focused enterprise software solutions. Our core technologies are used for contact centers, video communications, virtual healthcare, education, telecommunications networks, IPTV, public safety and transit. The Company’s two-pronged strategy to grow earnings focuses on both organic growth and acquisitions, which, to date, have been funded only through cash flows from operating activities as the Company has no outstanding external debt financing. The Company is organized around two business segments, the Interactive Management Group (“IMG”) and the Asset Management Group (“AMG”) due to their unique customer segments and technology offerings. Further information about Enghouse may be obtained from the Company’s website at www.enghouse.com

Conference Call and Webcast

A conference call to discuss the results will be held on Tuesday, March 11, 2025 at 8:45 a.m. EST. To participate, please call Local
+1-289-514-5100 or North American Toll-Free 1-800-717-1738. Confirmation code: 35790. A webcast is also available at: https://www.enghouse.com/investors.php.

****

The Company uses non-IFRS measures to assess its operating performance. Securities regulations require that companies caution readers that earnings and other measures adjusted to a basis other than IFRS do not have standardized meanings and are unlikely to be comparable to similar measures used by other companies. Accordingly, they should not be considered in isolation. The Company uses Adjusted EBITDA as a measure of operating performance. Therefore, Adjusted EBITDA may not be comparable to similar measures presented by other issuers. Adjusted EBITDA is calculated based on results from operating activities adjusted for depreciation of property and equipment and right-of-use assets, and special charges for acquisition related restructuring costs. Management uses Adjusted EBITDA to evaluate operating performance as it excludes amortization of software and intangibles (which is an accounting allocation of the cost of software and intangible assets arising on acquisition), any impact of finance and tax related activities, asset depreciation, foreign exchange gains and losses, other income and restructuring costs primarily related to acquisitions.

SOURCE Enghouse Systems Limited

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Great Place To Work names Invisors on the 2026 Best Workplaces for Women List, Ranking no.65

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Invisors named a UK’s Best Workplaces for Women™!

GLASGOW, Scotland, July 24, 2026 /PRNewswire/ — Invisors, a Workday Services Partner has officially been recognized as one of UK’s Best Workplaces for Women 2026™, in 65th place out of the 350 ranked organisations.

Invisors’ values and culture are among the reasons women at our organisation say it is a great place to work. Discover how the team brings this philosophy to life at invisors.com/company-overview.

The 2026 UK’s Best Workplaces for Women list is made up of employers whose people have told Great Place To Work® UK they work for a place that is inclusive and equitable for all. The 350 companies on the list are committed to ensuring a reasonable balance of women and men across the organisation; removing barriers to women’s career advancement; and creating workplaces where all employees, regardless of gender, can flourish.

“I’m incredibly proud to see Invisors recognized as a Top Place for Women to Work. This award reflects the culture we’ve built together—one that values inclusivity, flexibility and empowerment. It’s a place where people are supported to bring their whole selves to work, grow their careers and strive for excellence every day.” Jennifer Donnelly-Corbett, EMEA Manager, HCM and Absence at Invisors.

Benedict Gautrey, Managing Director of Great Place To Work UK says:

“This year’s UK’s Best Workplaces for Women list celebrates businesses making a genuine difference day to day, not just in what they say, but in how people experience work. What matters most is that this recognition comes directly from women working in these organisations, who tell us they feel supported, valued, and able to grow.

Our research demonstrates that these organisations creating high-trust environments deliver stronger results, whether in financial outcomes, impact, or service delivery, alongside greater agility and resilience in the face of change.

Congratulations to Invisors for creating an environment where inclusion is clearly felt in practice.” 

Matt Smith, Managing Director, Global HR Operations, Invisors “Being named as one of the UK’s Best Workplaces for Women list is an achievement because it reflects what our people actually experience, not just what we aspire to. We’ve worked to build an environment where career growth and success aren’t something women have to fight for — it’s built into how we operate. This recognition is a great step in the journey, not the finish line, and we’re committed to keeping that bar high as Invisors grows within the UK.”

About Invisors

As a certified Workday Services Partner, Invisors helps clients leverage their organisational data to make better-informed business decisions through the deployment of Workday. Invisors’ success is measured by their clients’ ability to achieve their big-picture vision. From initial deployments to ongoing projects, Invisors is dedicated to elevating perspectives and transforming results. To learn more, visit invisors.com

About Great Place To Work®

Great Place To Work® is the global authority on workplace culture, helping organisations to create exceptional, high-performing workplaces where employees feel trusted and valued. The UK’s Best Workplaces for Women™ enables these outstanding organisations to celebrate their achievements, build their employer brand, and inspire others to take action. For more information, visit www.greatplacetowork.co.uk.

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SOURCE Invisors

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Auction Direct USA in Raleigh, NC, Makes It Easy to Shop for Used Vehicles Online

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RALEIGH, N.C., July 24, 2026 /PRNewswire/ — Auction Direct USA in Raleigh, NC, helps shoppers browse used-vehicle inventory, compare options, and complete key steps of the buying process online for a faster, more convenient shopping experience.

Auction Direct USA in Raleigh, NC, is simplifying the used vehicle shopping experience by offering convenient online tools that help drivers browse inventory, compare options, and begin the purchasing process from the comfort of home.

With a user-friendly website, shoppers can explore an extensive selection of used cars, trucks, and SUVs that fit a variety of budgets and lifestyles. Detailed vehicle listings provide important information, including photos, key features, specifications, pricing, and availability, allowing customers to make informed decisions before visiting the dealership.

The online platform also makes it easy to narrow vehicle choices using search filters for make, model, body style, price range, mileage, model year, and other preferences. These features help shoppers quickly find vehicles that meet their individual needs while saving valuable time.

In addition to browsing inventory, customers can use several digital shopping tools to streamline the buying process. Visitors can estimate monthly payments, value a trade-in, complete a finance application, and schedule a test drive online. These resources allow shoppers to prepare for their dealership visit with greater confidence and convenience.

Auction Direct USA in Raleigh, NC, regularly updates its online inventory, giving customers access to fresh vehicle selections as they become available. Whether someone is searching for a dependable commuter car, a family-friendly SUV, or a capable pickup truck, the website provides an efficient way to explore available options before stepping into the showroom.

The dealership remains committed to delivering a straightforward, customer-focused buying experience by combining a wide range of high-quality used vehicles with digital tools that simplify every stage of the shopping journey.

Drivers looking to begin their search can visit Auction Direct USA in Raleigh, NC, or browse the current inventory online to compare vehicles and take advantage of convenient shopping resources before visiting the dealership in person.

About Auction Direct USA in Raleigh, NC

Auction Direct USA in Raleigh, NC, offers a diverse inventory of quality used cars, trucks, and SUVs to meet a wide range of driving needs and budgets. By combining a customer-focused approach with convenient online shopping tools, the dealership helps make finding and purchasing a used vehicle simple, efficient, and enjoyable.

Media Contact: Tony Kicinski, 844-678-8048, tonyk@auctiondirectusa.com

 

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FLAGSTAR BANK, N.A. ANNOUNCES $250 MILLION SHARE REPURCHASE PROGRAM

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Board of Directors Authorizes Repurchase of Up to $250 Million of Outstanding Common Stock, Reflecting the Bank’s Strong Capital Position and Commitment to Long-Term Shareholder Value

HICKSVILLE, N.Y., July 24, 2026 /PRNewswire/ — Flagstar Bank, N.A. (NYSE: FLG) (the “Bank”) today announced that its Board of Directors has authorized a common stock repurchase program under which the Bank may repurchase up to $250 million of its outstanding common stock over the next 12-month period.

Commenting on the repurchase program, Joseph M. Otting, Executive Chairman and Chief Executive Officer stated, “We are pleased to announce our stock buyback program, which reflects the meaningful progress we have made in executing our strategic plan, the strength of the balance sheet, and Flagstar’s long-term growth prospects. We have consistently maintained capital levels well above regulatory requirements, and we believe that returning capital to our shareholders through a share repurchase program represents a compelling and disciplined use of our excess capital at this time.

“We remain deeply committed to serving our customers and communities and we are confident that this program — alongside our continued investment in our people, products, systems, and technology — will deliver sustainable, long-term value for our shareholders.”

Repurchases may be conducted through open-market purchases, which may include purchases under a trading plan adopted pursuant to Securities and Exchange Commission Rule 10b5-1, or through privately negotiated transactions. The timing and exact amount of any share repurchases will be subject to a variety of factors, including the availability of stock for repurchases, the Bank’s capital position and financial performance, regulatory considerations, and general market conditions. The share repurchase program does not obligate the Bank to acquire any specific number of shares and may be modified, suspended, or discontinued at any time without prior notice. Any future stock repurchase programs would be subject to the approval of the Board of Directors and other various factors, including the Bank’s liquidity, capital position and financial performance, accounting and regulatory considerations, and general market conditions.

Flagstar Bank, N.A.

Flagstar Bank, N.A. is one of the largest regional banks in the country and is headquartered in Hicksville, New York. At June 30, 2026, the Bank had $87.7 billion of assets, $61.2 billion of loans, deposits of $67.5 billion, and total stockholders’ equity of $8.1 billion. Flagstar Bank, N.A. operates approximately 340 locations across nine states, with strong footholds in the greater New York/New Jersey metropolitan region and in the upper Midwest, along with a significant presence in fast-growing markets in Florida and the West Coast.

Cautionary Statements Regarding Forward-Looking Language

This press release may include forward‐looking statements by us and our authorized officers pertaining to such matters as our goals, beliefs, intentions, and expectations regarding, among other things: (a) revenues, earnings, loan production, asset quality, liquidity position, capital levels, risk analysis, divestitures, acquisitions, and other material transactions, among other matters; (b) the future costs and benefits of the actions we may take; (c) our assessments of credit risk and probable losses on loans and associated allowances and reserves; (d) our assessments of interest rate and other market risks; (e) our ability to achieve profitability goals within projected timeframes and to execute on our strategic plan, including the sufficiency of our internal resources, procedures and systems; (f) our ability to execute our capital management strategies, including our ability to complete our current stock repurchase program and to implement future stock repurchase programs; (g) our ability to attract, incentivize, and retain key personnel and the roles of key personnel; (h) our ability to achieve our financial and other strategic goals, including those related to our recent holding company reorganization, which was completed in October 2025 (the “Reorganization”), our merger with Flagstar Bancorp, Inc., which was completed in December 2022, our acquisition of substantial portions of the former Signature Bank through an FDIC-assisted transaction, which was completed in March 2023, and our ability to comply with the heightened regulatory standards with respect to governance and risk management programs to which we are subject as a national bank with assets of $50 billion or more; (i) the impact of the $1.05 billion capital raise we completed in March 2024; (j) the conversion or exchange of shares of our preferred stock; (k) the payment of dividends on shares of our capital stock, including adjustments to the amount of dividends payable on shares of our preferred stock; (l) the dilution of existing equity holders associated with future equity awards and stock issuances; (m) the effects of the reverse stock split we effected in July 2024; and (n) the impact of the 2024 sale of our mortgage servicing operations, third party mortgage loan origination business, and mortgage warehouse business.

Forward‐looking statements are typically identified by such words as “believe,” “expect,” “anticipate,” “intend,” “outlook,” “estimate,” “forecast,” “project,” “should,” “confident,” and other similar words and expressions, and are subject to numerous assumptions, risks, and uncertainties, which change over time. Additionally, forward‐looking statements speak only as of the date they are made; we do not assume any duty, and do not undertake, to update our forward‐looking statements. Furthermore, because forward‐looking statements are subject to assumptions and uncertainties, actual results or future events could differ, possibly materially, from those anticipated in our statements, and our future performance could differ materially from our historical results.

Our forward‐looking statements are subject to, among others, the following principal risks and uncertainties: general economic conditions and trends, either nationally or locally; conditions in the securities, credit and financial markets; changes in interest rates; changes in deposit flows, and in the demand for deposit, loan, and investment products and other financial services; changes in real estate values; changes in the quality or composition of our loan or investment portfolios, including associated allowances and reserves; changes in future allowance for credit losses, including changes required under relevant accounting and regulatory requirements; the ability to pay future dividends; the ability to implement future stock repurchase programs, which are subject to the approval of the Board of Directors and other various factors, including the Bank’s liquidity, capital position, and financial performance, accounting and regulatory considerations, as well as general market conditions; changes in our capital management and balance sheet strategies and our ability to successfully implement such strategies; our ability to achieve the anticipated benefits of the Reorganization; changes in our Board of Directors and our executive management team; changes in our strategic plan, including changes in our internal resources, procedures and systems, and our ability to successfully implement such plan; changes in competitive pressures among financial institutions or from non‐financial institutions; changes in legislation, regulations, and policies; changes relating to rent regulation and housing, including recent legislative action in New York City to freeze rents on certain rent-regulated properties; the impacts of tariffs, sanctions and other trade policies of the United States and its global trading counterparts; the outcome of federal, state, and local elections and the resulting economic and other impact on the areas in which we conduct business; the impact of changing political conditions or federal government shutdowns; the imposition of restrictions on our operations by bank regulators; the outcome of pending or threatened litigation, or of investigations or any other matters before regulatory agencies, whether currently existing or commencing in the future; our ability to comply with heightened regulatory standards with respect to governance and risk management programs to which we are subject as a national bank with assets of $50 billion or more; the restructuring of our mortgage business; our ability to achieve anticipated cost savings and enhanced efficiencies with respect to our balance sheet and expense reduction strategies; the impact of failures or disruptions in or breaches of our operational or security systems, data or infrastructure, or those of third parties, including as a result of cyberattacks or campaigns; the impact of natural disasters, extreme weather events, civil unrest, international military conflict, terrorism or other geopolitical events; and a variety of other matters which, by their nature, are subject to significant uncertainties and/or are beyond our control. Our forward-looking statements are also subject to the following principal risks and uncertainties with respect to our merger with Flagstar Bancorp, which was completed in December 2022, and our acquisition of substantial portions of the former Signature Bank through an FDIC-assisted transaction, which was completed in March 2023: the possibility that the anticipated benefits of the transactions will not be realized when expected or at all; the possibility of increased legal and compliance costs, including with respect to any litigation or regulatory actions related to the business practices of acquired companies or the combined business; diversion of management’s attention from ongoing business operations and opportunities; the possibility that we may be unable to achieve expected synergies and operating efficiencies in or as a result of the transactions within the expected timeframes or at all; and revenues following the transactions may be lower than expected.

More information regarding some of these factors is provided in the Risk Factors section of our Annual Report on Form 10‐K for the year ended December 31, 2025, and in other reports we file with the Office of the Comptroller of the Currency (the “OCC”) and voluntarily file with the Securities and Exchange Commission (the “SEC”), and which are also available on our Investor Relations website. Our forward‐looking statements may also be subject to other risks and uncertainties, including those we may discuss in this news release, on our conference call, during investor presentations, or in our securities disclosure filings. All such files are accessible on our website at ir.flagstar.com, on the OCC’s website at www.occ.gov, and on the SEC’s website at www.sec.gov.

Investor Contact:
Salvatore J. DiMartino
(516) 683-4286

Media Contact:
Jessica Torchia
(248) 312-6451

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SOURCE Flagstar Bank, N.A.

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