Technology
GoPro Announces First Quarter Results
Published
12 months agoon
By
Revenue of $134 million, at High-end of Guidance
Subscription and Service Revenue Up 4% Year-over-Year to $27 million
SAN MATEO, Calif., May 12, 2025 /PRNewswire/ — GoPro, Inc. (NASDAQ: GPRO) announced financial results for its first quarter ended March 31, 2025, and posted management commentary, including forward-looking guidance, in the investor relations section of its website at https://investor.gopro.com.
“Our Q1 results reflect our commitment to reducing operating expenses, down 26% year-over-year, improving subscription ARPU, up 5% year-over-year, and further diversifying our supply chain, all of which position us to navigate an evolving market landscape throughout 2025,” said Brian McGee, GoPro’s CFO and COO.
“Our teams are excelling as a more efficient organization and we believe the new products we have planned for the balance of 2025 and 2026 set us up for a return to growth in revenue and profitability,” said Nicholas Woodman, GoPro’s founder and CEO.
Q1 2025 Financial Results
Revenue was $134 million, down 14% year-over-year.Sell-through was approximately 440,000 camera units, down 18% year-over-year.Subscription and service revenue increased 4% year-over-year to $27 million, primarily due to 5% ARPU growth from improving retention rates. GoPro subscriber count ended Q1 at 2.47 million, down 1% year-over-year.Revenue from the retail channel was $94 million, or 70% of total revenue and down 12% year-over-year. GoPro.com revenue, including subscription and service revenue, was $40 million, or 30% of total revenue and down 18% year-over-year.GAAP net loss was $47 million, or a $(0.30) loss per share, compared to a net loss of $339 million or $(2.24) loss per share, in the prior year period. The first quarter of 2024 net loss included the establishment of a valuation allowance of $295 million, or $(1.95) loss per share.Non-GAAP net loss was $19 million, or a $(0.12) loss per share, compared to non-GAAP net loss of $319 million, or $(2.11) per share, in the prior year period. The first quarter of 2024 net loss included the establishment of a valuation allowance of $295 million, or $(1.95) loss per share.GAAP and non-GAAP gross margin was 32.1% and 32.3%, respectively. This compares to GAAP and non-GAAP gross margin of 34.1% and 34.4%, respectively, in the prior year period.Adjusted EBITDA was negative $16 million compared to negative $29 million in the prior year period, a 46% improvement year-over-year.
Recent Business Highlights
In January 2025, GoPro introduced an upgrade for its $199 entry-level HERO camera that enables much wider, more immersive video with a new 4K 4:3 aspect ratio video setting and in-app SuperView Digital Lens option.In February 2025, GoPro released an updated 360 mobile editing experience in its Quik App, featuring several new, easy-to-use features that make 360 editing MAX footage easier, and introduced a refreshed MAX 360- camera.In March 2025, GoPro launched a Limited Edition Polar White colorway bringing a fresh new look to its flagship HERO13 Black camera.In March 2025, GoPro released its Anamorphic Lens Mod for HERO13 Black, offering creators and filmmakers a small, affordable camera system for capturing cinematic, Hollywood-like video. Our new Anamorphic Lens Mod joins our previously released Ultra Wide Lens Mod, Macro Lens Mod and auto-detect ND Filters, which significantly enhance HERO13 Black’s versatility and performance.
Results Summary:
Three months ended March 31,
($ in thousands, except per share amounts)
2025
2024
% Change
Revenue
$ 134,308
$ 155,469
(13.6) %
Gross margin
GAAP
32.1 %
34.1 %
(200) bps
Non-GAAP
32.3 %
34.4 %
(210) bps
Operating loss
GAAP
$ (45,208)
$ (41,413)
9.2 %
Non-GAAP
$ (18,660)
$ (29,896)
(37.6) %
Net loss
GAAP
$ (46,709)
$ (339,088)
(86.2) %
Non-GAAP (1)
$ (19,444)
$ (319,357)
(93.9) %
Diluted net loss per share
GAAP
$ (0.30)
$ (2.24)
(86.6) %
Non-GAAP (1)
$ (0.12)
$ (2.11)
(94.3) %
Adjusted EBITDA
$ (15,707)
$ (29,301)
(46.4) %
(1)
In the second quarter of 2024, we revised the first quarter of 2024 income tax adjustment to exclude the establishment of a valuation allowance on United States federal and state deferred tax assets.
Conference Call
GoPro management will host a conference call and live webcast for analysts and investors today at 2 p.m. Pacific Time (5 p.m. Eastern Time) to discuss the Company’s financial results.
Prior to the start of the call, the Company will post Management Commentary on the “Events & Presentations” section of its investor relations website at https://investor.gopro.com. Management will make brief opening comments before taking questions.
To listen to the live conference call, please call +1 833-470-1428 (US) or +1 404-975-4839 (International) and enter access code 936610, approximately 15 minutes prior to the start of the call. A live webcast of the conference call will be accessible on the “Events & Presentations” section of the Company’s website at https://investor.gopro.com. A recording of the webcast will be available on GoPro’s website, https://investor.gopro.com, from approximately two hours after the call through August 10, 2025.
About GoPro, Inc. (NASDAQ: GPRO)
GoPro helps the world capture and share itself in immersive and exciting ways.
GoPro has been recognized as an employer of choice by both Outside Magazine and U.S. News & World Report for being among the best places to work. Open roles can be found on our careers page. For more information, visit GoPro.com.
Connect with GoPro on Facebook, Instagram, LinkedIn, TikTok, X, YouTube, and GoPro’s blog, The Current. GoPro customers can submit their photos and videos to GoPro Awards for an opportunity to be featured on GoPro’s social channels and receive gear and cash awards. Members of the press can access official logos and imagery on our press portal.
GoPro, HERO and their respective logos are trademarks or registered trademarks of GoPro, Inc. in the United States and other countries.
GoPro’s Use of Social Media
GoPro announces material financial information using the Company’s investor relations website, SEC filings, press releases, public conference calls and webcasts. GoPro may also use social media channels to communicate about the Company, its brand and other matters; these communications could be deemed material information. Investors and others are encouraged to review posts on Facebook, Instagram, LinkedIn, TikTok, X, YouTube, and GoPro’s investor relations website and blog, The Current.
Note Regarding Use of Non-GAAP Financial Measures
GoPro reports gross profit, gross margin percentage, operating expenses, operating income (loss), other income (expense), tax expense (benefit), net income (loss) and diluted net income (loss) per share in accordance with U.S. generally accepted accounting principles (GAAP) and on a non-GAAP basis. Additionally, GoPro reports non-GAAP adjusted EBITDA. Non-GAAP items exclude, where applicable, the effects of stock-based compensation, acquisition-related costs, restructuring and other related costs, gain on insurance proceeds, (gain) loss on extinguishment of debt, gain on the sale and license of intellectual property, goodwill impairment charges, and the tax impact of these items. When planning, forecasting, and analyzing gross profit, gross margin percentage, operating expenses, operating income (loss), other income (expense), tax expense (benefit), net income (loss) and net income (loss) per share for future periods, GoPro does so primarily on a non-GAAP basis without preparing a GAAP analysis as that would require estimates for reconciling items which are inherently difficult to predict with reasonable accuracy. A reconciliation of preliminary GAAP to non-GAAP measures has been provided in this press release, and investors are encouraged to review the reconciliation.
Note on Forward-looking Statements
This press release may contain projections or other forward-looking statements within the meaning Section 27A of the Private Securities Litigation Reform Act. Words such as “anticipate,” “believe,” “estimate,” “expect,” “intend,” “should,” “will,” “plan” and variations of these terms or the negative of these terms and similar expressions are intended to identify these forward-looking statements. Forward-looking statements in this press release may include but are not limited to statements regarding our expectations for profitability, improved gross margin, revenue growth, subscription growth, and reduced operating expenses; product diversification, reduced product costs, supply chain diversification and the impact of tariffs on our business. These statements involve risks and uncertainties, and actual events or results may differ materially. Among the important factors that could cause actual results to differ materially from those in the forward-looking statements include the inability to achieve our revenue growth or profitability in the future, and if revenue growth or profitability is achieved, the inability to sustain it; the fact that an economic downturn or economic uncertainty in our key U.S. and international markets, inflation, and fluctuations in interest rates or currency exchange rates may adversely affect consumer discretionary spending and demand for our products; changes to trade agreements, trade policies, tariffs and import/export regulations which may negatively effect on our business and supply chain expenses; the fact that our goal to grow revenue and be profitable relies upon our ability to manage expenses and grow sales from our direct-to-consumer business, our retail partners, and distributors; our ability to acquire and retain subscribers; our reliance on third-party suppliers, some of which are sole-source suppliers, to provide services and components for our products which may be impacted due to supply shortages, long lead times or other service disruptions that may lead to increased costs due to the effects of global conflicts and geopolitical issues such as the ongoing conflicts in the Middle East, Ukraine or China–Taiwan relations; our ability to maintain the value and reputation of our brand and protect our intellectual property and proprietary rights; the risk that our sales fall below our forecasts, especially during the holiday season; the risk we fail to manage our operating expenses effectively, which may result in our financial performance suffering; the fact that our profitability depends in part on further penetrating our total addressable market, and we may not be successful in doing so; the risk we are able to reduce our operating expenses; the fact that we rely on sales of our cameras, mounts and accessories for substantially all of our revenue, and any decrease in the sales or change in sales mix of these products could harm our business; the risk that we may not successfully manage product introductions, product transitions, product pricing and marketing; our ability to achieve or maintain profitability if there are delays or issues in our product launches; the fact that a small number of retailers and distributors account for a substantial portion of our revenue and our level of business with them could be significantly reduced; our ability to attract, engage and retain qualified personnel; the impact of competition on our market share, revenue and profitability; the fact that we may experience fluctuating revenue, expenses and profitability in the future; risks related to inventory, purchase commitments and long-lived assets; the risk that we will encounter problems with our distribution system; the threat of a security breach or other disruption including cyberattacks; the concern that our intellectual property and proprietary rights may not adequately protect our products and services; the outcome of pending or future litigation and legal proceedings; and other factors detailed in the Risk Factors section of our Annual Report on Form 10-K for the year ended December 31, 2024, which is on file with the Securities and Exchange Commission (SEC). These forward-looking statements speak only as of the date hereof or as of the date otherwise stated herein. GoPro disclaims any obligation to update these forward-looking statements.
GoPro, Inc.
Preliminary Condensed Consolidated Statements of Operations
(unaudited)
Three months ended March 31,
(in thousands, except per share data)
2025
2024
Revenue
$ 134,308
$ 155,469
Cost of revenue
91,159
102,431
Gross profit
43,149
53,038
Operating expenses:
Research and development
29,557
44,612
Sales and marketing
23,258
35,146
General and administrative
16,942
14,693
Goodwill impairment
18,600
—
Total operating expenses
88,357
94,451
Operating loss
(45,208)
(41,413)
Other income (expense):
Interest expense
(797)
(674)
Other income, net
948
1,208
Total other income, net
151
534
Loss before income taxes
(45,057)
(40,879)
Income tax expense
1,652
298,209
Net loss
$ (46,709)
$ (339,088)
Basic and diluted net loss per share
$ (0.30)
$ (2.24)
Shares used to compute basic and diluted net loss per share
156,438
151,091
GoPro, Inc.
Preliminary Condensed Consolidated Balance Sheets
(unaudited)
(in thousands)
March 31,
2025
December 31,
2024
Assets
Current assets:
Cash and cash equivalents
$ 69,634
$ 102,811
Accounts receivable, net
76,687
85,944
Inventory
96,282
120,716
Prepaid expenses and other current assets
36,246
29,774
Total current assets
278,849
339,245
Property and equipment, net
7,759
8,696
Operating lease right-of-use assets
14,618
14,403
Goodwill
133,751
152,351
Other long-term assets
27,533
28,983
Total assets
$ 462,510
$ 543,678
Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable
$ 54,809
$ 85,936
Accrued expenses and other current liabilities
78,471
110,769
Short-term operating lease liabilities
11,239
10,936
Deferred revenue
54,009
55,418
Short-term debt
118,363
93,208
Total current liabilities
316,891
356,267
Long-term taxes payable
13,270
11,621
Long-term operating lease liabilities
16,614
18,067
Other long-term liabilities
5,755
6,034
Total liabilities
352,530
391,989
Stockholders’ equity:
Common stock and additional paid-in capital
1,031,527
1,026,527
Treasury stock, at cost
(193,231)
(193,231)
Accumulated deficit
(728,316)
(681,607)
Total stockholders’ equity
109,980
151,689
Total liabilities and stockholders’ equity
$ 462,510
$ 543,678
GoPro, Inc.
Preliminary Condensed Consolidated Statements of Cash Flows
(unaudited)
Three months ended March 31,
(in thousands)
2025
2024
Operating activities:
Net loss
$ (46,709)
$ (339,088)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization
1,718
1,325
Non-cash operating lease cost
(215)
1,082
Stock-based compensation
5,370
8,770
Goodwill impairment
18,600
—
Deferred income taxes, net
103
296,775
Other
106
651
Net changes in operating assets and liabilities
(36,159)
(67,918)
Net cash used in operating activities
(57,186)
(98,403)
Investing activities:
Purchases of property and equipment, net
(1,305)
(964)
Maturities of marketable securities
—
24,000
Acquisition, net of cash acquired
—
(12,308)
Net cash provided by (used in) investing activities
(1,305)
10,728
Financing activities:
Proceeds from issuance of common stock
374
1,379
Taxes paid related to net share settlement of equity awards
(503)
(1,977)
Proceeds from borrowings
25,000
—
Net cash provided by (used in) financing activities
24,871
(598)
Effect of exchange rate changes on cash and cash equivalents
443
(777)
Net change in cash and cash equivalents
(33,177)
(89,050)
Cash and cash equivalents at beginning of period
102,811
222,708
Cash and cash equivalents at end of period
$ 69,634
$ 133,658
GoPro, Inc.
Reconciliation of Preliminary GAAP to Non-GAAP Financial Measures
To supplement our unaudited selected financial data presented on a basis consistent with GAAP, we disclose certain non-GAAP financial measures, including non-GAAP gross profit, gross margin percentage, operating expenses, operating income (loss), other income (expense), tax expense (benefit), net income (loss), diluted net income (loss) per share and adjusted EBITDA. We also provide forecasts of non-GAAP gross margin, non-GAAP operating expenses, non-GAAP other income (expense), non-GAAP tax expense (benefit), non-GAAP net income (loss) and non-GAAP diluted net income (loss) per share. We use non-GAAP financial measures to help us understand and evaluate our core operating performance and trends, to prepare and approve our annual budget, and to develop short-term and long-term operational plans. Our management uses and believes that investors benefit from referring to these non-GAAP financial measures in assessing our operating results. These non-GAAP financial measures should not be considered in isolation from, or as an alternative to, the measures prepared in accordance with GAAP, and are not based on any comprehensive set of accounting rules or principles. We believe that these non-GAAP measures, when read in conjunction with our GAAP financials, provide useful information to investors by facilitating:
the comparability of our on-going operating results over the periods presented;the ability to identify trends in our underlying business; andthe comparison of our operating results against analyst financial models and operating results of other public companies that supplement their GAAP results with non-GAAP financial measures.These non-GAAP financial measures have limitations in that they do not reflect all of the amounts associated with our results of operations as determined in accordance with GAAP. Some of these limitations are:adjusted EBITDA does not reflect income tax expense (benefit), which may change cash available to us;adjusted EBITDA does not reflect interest income (expense), which may reduce cash available to us;adjusted EBITDA excludes depreciation and amortization and, although these are non-cash charges, the property and equipment being depreciated and amortized often will have to be replaced in the future, and adjusted EBITDA does not reflect any cash capital expenditure requirements for such replacements;adjusted EBITDA excludes the amortization of point of purchase (POP) display assets because it is a non-cash charge, and is treated similarly to depreciation of property and equipment and amortization of acquired intangible assets;adjusted EBITDA and non-GAAP net income (loss) exclude restructuring and other related costs which primarily include severance-related costs, stock-based compensation expenses, manufacturing consolidation charges, facilities consolidation charges recorded in connection with restructuring actions, including right-of-use asset impairment charges (if applicable), and the related ongoing operating lease cost of those facilities recorded under ASC 842, Leases. These expenses do not reflect expected future operating expenses and do not contribute to a meaningful evaluation of current operating performance or comparisons to the operating performance in other periods;adjusted EBITDA and non-GAAP net income (loss) exclude stock-based compensation expense related to equity awards granted primarily to our workforce. We exclude stock-based compensation expense because we believe that the non-GAAP financial measures excluding this item provide meaningful supplemental information regarding operational performance. In particular, we note that companies calculate stock-based compensation expense for the variety of award types that they employ using different valuation methodologies and subjective assumptions. These non-cash charges are not factored into our internal evaluation of non-GAAP net income (loss) as we believe their inclusion would hinder our ability to assess core operational performance;adjusted EBITDA and non-GAAP net income (loss) excludes a gain on insurance proceeds because it is not reflective of ongoing operating results in the period, and the frequency and amount of such gains vary;adjusted EBITDA and non-GAAP net income (loss) excludes any gain or loss on the extinguishment of debt because it is not reflective of ongoing operating results in the period, and the frequency and amount of such gains and losses vary;adjusted EBITDA and non-GAAP net income (loss) excludes goodwill impairment charges as they do not reflect ongoing operating results in the period and hinders our ability to assess core operational performance;non-GAAP net income (loss) excludes acquisition-related costs including the amortization of acquired intangible assets (primarily consisting of acquired technology), the impairment of acquired intangible assets (if applicable), as well as third-party transaction costs incurred for legal and other professional services. These costs are not factored into our evaluation of potential acquisitions, or of our performance after completion of the acquisitions because these costs are not related to our core operating performance or reflective of ongoing operating results in the period, and the frequency and amount of such costs vary significantly based on the timing and magnitude of our acquisition transactions and the maturities of the businesses being acquired. Although we exclude the amortization of acquired intangible assets from our non-GAAP net income (loss), management believes that it is important for investors to understand that such intangible assets were recorded as part of purchase accounting and can contribute to revenue generation;non-GAAP net income (loss) excludes a gain on the sale and/or license of intellectual property. This gain is not related to our core operating performance or reflective of ongoing operating results in the period, and the frequency and amount of such gains are inconsistent;non-GAAP net income (loss) includes income tax adjustments which reflect the current and deferred income tax expense (benefit) and the effect of non-GAAP adjustments. In the second quarter of 2024, we revised the first quarter of 2024 income tax adjustment to exclude the establishment of a valuation allowance on the United States federal and state deferred tax assets;GAAP and non-GAAP net income (loss) per share includes the dilutive, tax effected cash interest expense associated with our 2025 Notes in periods of net income, as if converted at the beginning of the period; andother companies may calculate these non-GAAP financial measures differently than we do, limiting their usefulness as comparative measures.
GoPro, Inc.
Reconciliation of Preliminary GAAP to Non-GAAP Financial Measures
(unaudited)
Reconciliations of non-GAAP financial measures are set forth below:
Three months ended March 31,
(in thousands, except per share data)
2025
2024
GAAP net loss
$ (46,709)
$ (339,088)
Stock-based compensation:
Cost of revenue
248
415
Research and development
2,820
4,265
Sales and marketing
882
1,744
General and administrative
1,420
2,346
Total stock-based compensation
5,370
8,770
Acquisition-related costs:
Research and development
469
156
General and administrative
3
681
Total acquisition-related costs
472
837
Restructuring and other costs:
Cost of revenue
(13)
—
Research and development
591
866
Sales and marketing
385
467
General and administrative
1,143
577
Total restructuring and other costs
2,106
1,910
Gain on insurance recovery
(424)
—
Goodwill impairment
18,600
—
Income tax adjustments (1)
1,141
8,214
Non-GAAP net loss
$ (19,444)
$ (319,357)
GAAP and non-GAAP shares for diluted net loss per share
156,438
151,091
GAAP diluted net loss per share
$ (0.30)
$ (2.24)
Non-GAAP diluted net loss per share
$ (0.12)
$ (2.11)
(1)
In the second quarter of 2024, we revised the first quarter of 2024 income tax adjustment to exclude the establishment of a valuation allowance on United States federal and state deferred tax assets.
Three months ended March 31,
(dollars in thousands)
2025
2024
GAAP gross margin as a % of revenue
32.1 %
34.1 %
Stock-based compensation
0.2
0.3
Non-GAAP gross margin as a % of revenue
32.3 %
34.4 %
GAAP operating expenses
$ 88,357
$ 94,451
Stock-based compensation
(5,122)
(8,355)
Acquisition-related costs
(472)
(837)
Restructuring and other costs
(2,119)
(1,910)
Goodwill impairment
(18,600)
—
Non-GAAP operating expenses
$ 62,044
$ 83,349
GAAP operating loss
$ (45,208)
$ (41,413)
Stock-based compensation
5,370
8,770
Acquisition-related costs
472
837
Restructuring and other costs
2,106
1,910
Goodwill impairment
18,600
—
Non-GAAP operating loss
$ (18,660)
$ (29,896)
Three months ended March 31,
(in thousands)
2025
2024
GAAP net loss
$ (46,709)
$ (339,088)
Income tax expense
1,652
298,209
Interest expense (income), net
248
(1,289)
Depreciation and amortization
1,718
1,325
POP display amortization
1,732
862
Stock-based compensation
5,370
8,770
Gain on insurance recovery
(424)
—
Goodwill impairment
18,600
—
Restructuring and other costs
2,106
1,910
Adjusted EBITDA
$ (15,707)
$ (29,301)
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SOURCE GoPro, Inc.
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OppFi Reports First Quarter 2026 Results, Record Quarterly Revenue
Published
21 minutes agoon
May 7, 2026By
Total revenue increased 8.3% year over year to $151.9 million, a Company record for the first quarter
Net income increased 165.0% year over year to $54.0 million
Adjusted net income1 decreased 11.2% year over year to $30.0 million
Board approves new $40 million Share Repurchase Program
CHICAGO, May 7, 2026 /PRNewswire/ — OppFi Inc. (NYSE: OPFI) (“OppFi” or the “Company”), a tech-enabled digital finance platform that partners with banks to offer financial products and services to everyday Americans, today reported financial results for the first quarter ended March 31, 2026.
“Operationally, OppFi had a healthy start to 2026, generating record first-quarter revenue, which reflects the strength of our core operations. Strategically, we believe 2026 is a pivotal year of investment for OppFi as we evolve the business with the transformative combination of OppFi’s digital-first platform and BNC’s national bank charter. This initiative unlocks significant opportunities for growth and product diversification. Combining our operations under unified regulatory supervision by the OCC and Federal Reserve simplifies and strengthens our compliance and risk management, which positions us for long-term scalability and sustainable growth,” said Todd Schwartz, CEO and Executive Chairman of OppFi. Our new share repurchase program reflects our continued confidence in OppFi’s long-term growth prospects, our commitment to returning value to our stockholders and belief that our stock currently trades at a significant discount to its underlying value,” Todd Schwartz added.
(1) Non-GAAP Financial Measures: Adjusted Net Income and Adjusted EPS are non-GAAP financial measures. See “Reconciliation of Non-GAAP Financial Measures” below for a detailed description and reconciliation of such non-GAAP financial measures to their most directly comparable GAAP financial measures.
Financial Summary
The following table presents a summary of OppFi’s results for the three months ended March 31, 2026 and 2025 (in thousands, except per share data)†. Certain columns and rows may not sum due to the use of rounded numbers for disclosure purposes. Percentages presented are calculated from the underlying whole-dollar amounts.
Three Months Ended March 31,
Change
(Unaudited)
2026
2025
%
Total revenue(1)
$ 151,881
$ 140,268
8.3 %
Net income
$ 54,038
$ 20,390
165.0 %
Net income (loss) attributable to OppFi Inc.
$ 28,401
$ (11,372)
349.7 %
Adjusted net income(2)
$ 30,045
$ 33,817
(11.2) %
Basic EPS
$ 1.06
$ (0.48)
321.0 %
Diluted EPS(3)
$ 0.56
$ (0.48)
215.7 %
Adjusted EPS(2,3)
$ 0.35
$ 0.38
(9.3) %
† The financial results do not reflect the simplification of OppFi’s corporate structure to collapse its prior Up-C structure, which occurred after the end of the quarter.
(1) Total revenue is calculated as the sum of interest on finance receivables and other revenue.
(2) Adjusted Net Income and Adjusted EPS are non-GAAP financial measures. See “Reconciliation of Non-GAAP Financial Measures” below for a detailed description and reconciliation of such non-GAAP financial measures to their most directly comparable GAAP financial measures.
(3) Diluted EPS calculated on a GAAP basis excludes dilutive securities, including Class V Voting Stock, restricted stock units, performance stock units, and stock options in any periods in which their inclusion would have an antidilutive effect.
Key Performance Metrics
The following table represents key quarterly metrics as of and for the three months ended March 31, 2026 and 2025 (in thousands, except percentage metrics).
As of and for the Three Months Ended
(Unaudited)
March 31, 2026
March 31, 2025
Total net originations(a)
$ 175,975
$ 189,168
Total retained net originations(a)
$ 151,449
$ 168,963
Ending receivables(b)
$ 444,922
$ 406,579
Net charge-offs as % of total revenue(c)
42.5 %
34.6 %
Net charge-offs as % of average receivables, annualized(c)
55.5 %
47.0 %
Average yield, annualized(d)
130.7 %
135.8 %
Auto-approval rate(e)
79 %
79 %
(a) Total net originations are defined as gross originations net of transferred balance on refinanced loans, while total retained net originations are defined as the portion of total net originations with respect to which the Company ultimately purchased a receivable from bank partners.
(b) Ending receivables are defined as the unpaid principal balances of loans at the end of the reporting period.
(c) Net charge-offs as a percentage of total revenue and net charge-offs as a percentage of average receivables represent total charge-offs from the period less recoveries as a percentage of total revenue and as a percentage of average receivables. Net charge-offs as a percentage of average receivables is presented as an annualized metric. Finance receivables are charged off at the earlier of the time when accounts reach 90 days past due on a recency basis, when OppFi receives notification of a customer bankruptcy or is otherwise deemed uncollectible.
(d) Average yield is defined as total revenue from the period as a percent of average receivables and is presented as an annualized metric.
(e) Auto-approval rate is calculated by taking the number of approved loans that are not decisioned by a loan processor or underwriter (auto-approval) divided by the total number of loans approved.
Share Repurchase Program
During the three months ended March 31, 2026, OppFi repurchased 1,040,699 shares of Class A Common Stock, which were held as treasury stock, for an aggregate purchase price of $9.9 million at an average purchase price per share of $9.54. As of March 31, 2026, $11.0 million of the repurchase authorization under the Company’s prior repurchase program remained available. On May 6, 2026, the Board of Directors of OppFi approved a new share repurchase program under which the Company may repurchase up to $40 million of its Class A Common Stock. This new program replaces the Company’s prior share repurchase program, which was terminated.
Repurchases under the new program may be made from time to time on the open market, through privately negotiated transactions, or via other methods, in accordance with applicable securities laws and other relevant legal requirements. The timing and amount of repurchases will depend on market conditions, share price, trading volume and other factors. The new program does not obligate the Company to repurchase any specific dollar amount or number of shares, and it may be extended, modified, suspended or discontinued at any time.
Conference Call
Management will host a conference call today at 9:00 a.m. ET to discuss OppFi’s financial results and business outlook. The webcast of the conference call will be made available on the Investor Relations page of the Company’s website.
The conference call can also be accessed with the following dial-in information:
Domestic: (800) 579-2543International: (785) 424-1789Conference ID: OPPFI
An archived version of the webcast will be available on OppFi’s website.
About OppFi
OppFi (NYSE: OPFI) is a tech-enabled digital finance platform that partners with banks to offer financial products and services to everyday Americans. Through this transparent and responsible platform, which emphasizes financial inclusion and exceptional customer experience, the Company assists consumers who are underserved by traditional financing options in building improved financial health. OppLoans by OppFi maintains a 4.4/5.0 star rating on Trustpilot based on over 5,500 reviews, positioning the Company among the top consumer-rated financial platforms online. OppFi also holds a 35% equity interest in Bitty Holdings, LLC (“Bitty”), a credit access company that provides revenue-based financing and other working capital solutions to small businesses. For additional information, please visit oppfi.com.
Important Additional Information will be Filed with the SEC
In connection with the proposed transaction between OppFi and BNCCORP, Inc. (“BNCC”), OppFi will file with the U.S. Securities and Exchange Commission (the “SEC”) a registration statement on Form S-4 (the “registration statement”), which will contain a proxy statement of BNCC and a prospectus of OppFi (the “proxy statement/prospectus”), and OppFi may file with the SEC other relevant documents regarding the proposed transaction. INVESTORS AND SECURITY HOLDERS ARE URGED TO READ THE REGISTRATION STATEMENT AND THE PROXY STATEMENT/PROSPECTUS CAREFULLY AND IN THEIR ENTIRETY AND ANY OTHER RELEVANT DOCUMENTS FILED WITH THE SEC BY OPPFI, AS WELL AS ANY AMENDMENTS OR SUPPLEMENTS TO THOSE DOCUMENTS, WHEN THEY BECOME AVAILABLE BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION ABOUT OPPFI, BNC AND THE PROPOSED TRANSACTION. A definitive copy of the proxy statement/prospectus will be mailed to stockholders of BNCC when that document is final. Investors and security holders will be able to obtain the registration statement and the proxy statement/prospectus, as well as other filings containing information about OppFi, free of charge from OppFi or from the SEC’s website when they are filed by OppFi. The documents filed by OppFi with the SEC may be obtained free of charge at OppFi’s website, at https://investors.oppfi.com/financials/sec-filings/default.aspx, or by requesting them by mail at 130 E. Randolph Street, Suite 3400, Chicago, IL 60601 or by email at corporate.secretary@oppfi.com.
Participants in a Solicitation
This communication is not a solicitation of a proxy from any security holder of BNCC or OppFi. However, OppFi, BNCC and certain of their respective directors and executive officers may be deemed to be participants in a solicitation of proxies from the stockholders of BNCC in respect of the proposed transaction. Information about OppFi’s directors and executive officers is available in its Annual Report on Form 10-K for the year ended December 31, 2025 and other documents filed by OppFi with the SEC. Information regarding the persons who may, under the rules of the SEC, be deemed participants in the proxy solicitation and a description of their direct and indirect interests, by security holdings or otherwise, will be contained in the proxy statement/prospectus and other relevant materials to be filed with the SEC when they become available. Free copies of this document may be obtained as described in the preceding paragraph.
This communication shall not constitute an offer to sell or the solicitation of an offer to buy any securities of OppFi or a solicitation of any vote or approval with respect to the proposed transaction by OppFi or BNCC, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offering of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the U.S. Securities Act of 1933, as amended.
Contacts:
Investor Relations:
Mike Gallentine
Head of Investor Relations
mgallentine@oppfi.com
Media Relations:
media@oppfi.com
Forward-Looking Statements
This press release includes “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. OppFi’s actual results may differ from its expectations, estimates and projections and consequently, you should not rely on these forward-looking statements as predictions of future events. Words such as “expect,” “estimate,” “project,” “budget,” “forecast,” “opportunity,” “anticipate,” “intend,” “plan,” “may,” “will,” “could,” “should,” “believes,” “predicts,” “potential,” “possible,” “continue,” “positions,” and similar expressions may identify forward-looking statements, but the absence of these words does not mean that a statement is not forward-looking. These forward-looking statements include, without limitation, OppFi’s expectations with respect to its full year 2026 guidance, the future performance of OppFi’s platform and underwriting models, statements regarding OppFi’s proposed acquisition of BNCC, including the anticipated timing, structure, benefits and strategic rationale of such transactions, OppFi’s expectations with respect to the geographic expansion and product diversification that may come from the acquisition, and expectations for OppFi’s growth and future financial performance. These forward-looking statements are based on OppFi’s current expectations and assumptions about future events and are based on currently available information as to the outcome and timing of future events. These forward-looking statements involve significant risks and uncertainties that could cause the actual results to differ materially from the expected results. Most of these factors are outside OppFi’s control and are difficult to predict. Factors that may cause such differences include, but are not limited to, the impact of general economic conditions, including economic slowdowns, inflation, interest rate changes, recessions, the impact of tariffs, and tightening of credit markets on OppFi’s business; the impact of challenging macroeconomic and marketplace conditions; the impact of stimulus or other government programs; risks related to the proposed acquisition of BNCC including the risk that the transactions may not be completed in a timely manner or at all and the risk of integration or execution challenges; whether OppFi will be successful in obtaining declaratory relief against the Commissioner of the Department of Financial Protection and Innovation for the State of California; whether OppFi will be subject to AB 539; whether OppFi’s bank partners will continue to lend in California and whether OppFi’s financing sources will continue to finance the purchase of participation rights in loans originated by OppFi’s bank partners in California; OppFi’s ability to scale and grow the Bitty business; the impact that events involving financial institutions or the financial services industry generally, such as actual concerns or events involving liquidity, defaults, or non-performance, may have on OppFi’s business; risks related to any material weakness in OppFi’s internal controls over financial reporting; the ability of OppFi to grow and manage growth profitably and retain its key employees; risks related to new products; risks related to evaluating and potentially consummating acquisitions; concentration risk; risks related to OppFi’s ability to comply with various covenants in its corporate and warehouse credit facilities; risks related to potential litigation; changes in applicable laws or regulations, including, but not limited to, impacts from the One Big Beautiful Bill Act; the possibility that OppFi may be adversely affected by other economic, business, and/or competitive factors; and other risks and uncertainties indicated from time to time in OppFi’s filings with the United States Securities and Exchange Commission, in particular, contained in the section captioned “Risk Factors.” OppFi cautions that the foregoing list of factors is not exclusive, and readers should not place undue reliance upon any forward-looking statements, which speak only as of the date made. OppFi does not undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in its expectations or any change in events, conditions or circumstances on which any such statement is based.
Non-GAAP Financial Measures
This press release includes certain non-GAAP financial measures that are unaudited and do not conform to GAAP, such as Adjusted EBT, Adjusted Net Income, and Adjusted EPS. Adjusted EBT is defined as Net Income, adjusted for (1) income tax expense; (2) change in fair value of warrant liabilities; (3) other adjustments, net; and (4) other income. Adjusted Net Income is defined as Adjusted EBT as defined above, adjusted for taxes assuming a tax rate for each period presented that reflects the U.S. federal statutory rate of 21% and a blended statutory rate for state income taxes, in order to allow for a comparison with other publicly traded companies. Adjusted EPS is defined as Adjusted Net Income as defined above, divided by weighted average diluted shares outstanding, which represents shares of both classes of common stock outstanding and includes the impact of dilutive securities, such as restricted stock units, performance stock units, and stock options. These non-GAAP financial measures have not been prepared in accordance with accounting principles generally accepted in the United States and may be different from non-GAAP financial measures used by other companies. OppFi believes that the use of these non-GAAP financial measures provides an additional tool for investors to use in evaluating ongoing operating results and trends. These non-GAAP measures with comparable names should not be considered in isolation from, or as an alternative to, financial measures determined in accordance with GAAP. See “Reconciliation of Non-GAAP Financial Measures” below for reconciliations for OppFi’s non-GAAP financial measures to the most directly comparable GAAP financial measures.
First Quarter Results of Operations
Consolidated Statements of Operations
The following table present consolidated results of operations for the three months ended March 31, 2026 and 2025 (in thousands, except share and per share data). Certain columns and rows may not sum due to the use of rounded numbers for disclosure purposes. Percentages presented are calculated from the underlying whole-dollar amounts.
Three Months Ended March 31,
Change
(Unaudited)
2026
2025
$
%
Revenue:
Interest and loan related income
$ 150,526
$ 139,118
$ 11,408
8.2 %
Other revenue
1,355
1,150
205
17.8
151,881
140,268
11,613
8.3
Change in fair value of finance receivables
(64,583)
(49,458)
(15,125)
30.6
Net revenue
87,298
90,810
(3,512)
(3.9)
Expenses:
Salaries and employee benefits
14,254
13,778
476
3.5
Direct marketing costs
10,385
10,288
97
0.9
Interest expense and amortized debt issuance costs
8,510
10,247
(1,737)
(17.0)
Professional fees
7,264
4,199
3,065
73.0
Technology costs
3,329
2,961
368
12.4
Payment processing fees
1,658
1,630
28
1.7
Occupancy
871
1,039
(168)
(16.2)
Depreciation and amortization
591
1,760
(1,169)
(66.4)
General, administrative and other
5,074
2,416
2,658
110.0
Total expenses
51,936
48,318
3,618
7.5
Income from operations
35,362
42,492
(7,130)
(16.8)
Other income (expense):
Change in fair value of warrant liabilities
21,295
(21,607)
42,902
198.6
Income from equity method investment
1,120
1,076
44
4.1
Other income
232
80
152
191.1
Income before income taxes
58,009
22,041
35,968
163.2
Income tax expense
3,971
1,651
2,320
140.5
Net income
54,038
20,390
33,648
165.0
Less: net income attributable to noncontrolling interest
25,637
31,762
(6,125)
(19.3)
Net income (loss) attributable to OppFi Inc.
$ 28,401
$ (11,372)
$ 39,773
349.7 %
Earnings (loss) per common share attributable to OppFi Inc.:
Earnings (loss) per common share:
Basic
$ 1.06
$ (0.48)
Diluted
$ 0.56
$ (0.48)
Weighted average common shares outstanding:
Basic
26,778,432
23,691,769
Diluted
86,195,269
23,691,769
Condensed Consolidated Balance Sheets
The following table presents consolidated balance sheets as of March 31, 2026 and December 31, 2025 (in thousands). Certain columns and rows may not sum due to the use of rounded numbers for disclosure purposes. Percentages presented are calculated from the underlying whole-dollar amounts.
(Unaudited)
March 31,
December 31,
Change
2026
2025
$
%
Assets
Cash and restricted cash
$ 99,920
$ 93,263
$ 6,657
7.1 %
Finance receivables at fair value
502,558
546,236
(43,678)
(8.0)
Equity method investment
19,145
19,076
69
0.4
Other assets
98,364
95,515
2,849
3.0
Total assets
$ 719,987
$ 754,090
$ (34,103)
(4.5) %
Liabilities and stockholders’ equity
Accounts payable and accrued expenses
$ 41,610
$ 46,171
$ (4,561)
(9.9) %
Other liabilities
45,975
51,235
(5,260)
(10.3)
Total debt
284,260
321,353
(37,093)
(11.5)
Warrant liabilities
5,160
26,455
(21,295)
(80.5)
Total liabilities
377,005
445,214
(68,209)
(15.3)
Total stockholders’ equity
342,982
308,876
34,106
11.0
Total liabilities and stockholders’ equity
$ 719,987
$ 754,090
$ (34,103)
(4.5) %
Condensed Consolidated Statement of Cash Flows
The following table presents the consolidated statement of cash flows for the three months ended March 31, 2026 and 2025 (in thousands). Certain columns and rows may not sum due to the use of rounded numbers for disclosure purposes. Percentages presented are calculated from the underlying whole-dollar amounts.
Three Months Ended March 31,
Change
(Unaudited)
2026
2025
$
%
Net cash provided by operating activities
$ 90,779
$ 83,740
$ 7,039
8.4 %
Net cash used in investing activities
(21,436)
(34,241)
12,805
(37.4)
Net cash used in financing activities
(62,686)
(47,019)
(15,667)
33.3
Net increase in cash and restricted cash
$ 6,657
$ 2,480
$ 4,177
168.4 %
Financial Capacity and Capital Resources
As of March 31, 2026, OppFi had $63.9 million in unrestricted cash, an increase of $14.4 million from December 31, 2025. As of March 31, 2026, OppFi had an additional $240.7 million of unused debt capacity under our financing facilities for future availability, representing a 46% overall undrawn capacity, an increase from $203.6 million as of December 31, 2025. The increase in undrawn debt was driven primarily by a decrease in the utilization of revolving lines of credit. Including total financing commitments of $525.0 million and cash and restricted cash on the balance sheet of $99.9 million, OppFi had approximately $624.9 million in funding capacity as of March 31, 2026.
Reconciliation of Non-GAAP Financial Measures
The following tables present reconciliations of non-GAAP financial measures for the three months ended March 31, 2026 and 2025 (in thousands, except share and per share data). Certain columns and rows may not sum due to the use of rounded numbers for disclosure purposes. Percentages presented are calculated from the underlying whole-dollar amounts.
Adjusted EBT and Adjusted Net Income
Comparison of the three months ended March 31, 2026 and 2025
Three Months Ended March 31,
Change
(Unaudited)
2026
2025
$
%
Net income
$ 54,038
$ 20,390
$ 33,648
165.0 %
Income tax expense
3,971
1,651
2,320
140.5
Other income
(232)
(80)
(152)
191.1
Change in fair value of warrant liabilities
(21,295)
21,607
(42,902)
(198.6)
Other adjustments, net(a)
3,035
609
2,426
398.4
Adjusted EBT
39,517
44,177
(4,660)
(10.5)
Less: pro forma taxes(b)
9,472
10,360
(888)
(8.6)
Adjusted net income
$ 30,045
$ 33,817
$ (3,772)
(11.2) %
Adjusted earnings per share
$ 0.35
$ 0.38
Weighted average diluted shares outstanding
86,195,269
87,991,698
(a) For the three months ended March 31, 2026, other adjustments, net of $3.0 million included $1.7 million in expenses related to stock compensation, $1.0 million in expenses related to corporate development, $0.2 million in expenses related to severance, and $0.1 million in expenses related to legal matters. For the three months ended March 31, 2025, other adjustments, net of $0.6 million included $1.3 million in expenses related to stock compensation, $0.3 million in expenses related to severance, $0.3 million in expenses related to legal matters, and $0.2 million in expenses related to an adjustment to the Company’s outstanding lease obligations, partially offset by a $1.4 million addback related to the partial forgiveness of remaining expenses related to OppFi Card’s exit activities. The sum of the individual components of other adjustments, net may not equal the total presented due to the use of rounded numbers for disclosure purposes.
(b) Assumes a tax rate of 23.97% for the three months ended March 31, 2026 and 23.45% for the three months ended March 31, 2025, reflecting the U.S. federal statutory rate of 21% and a blended statutory rate for state income taxes.
Adjusted Earnings Per Share
Comparison of the three months ended March 31, 2026 and 2025
Three Months Ended March 31,
(Unaudited)
2026
2025
Weighted average Class A common stock outstanding
26,778,432
23,691,769
Weighted average Class V voting stock outstanding
58,694,615
62,698,935
Dilutive impact of restricted stock units
556,584
1,341,739
Dilutive impact of performance stock units
12,994
62,377
Dilutive impact of stock options
152,644
196,878
Weighted average diluted shares outstanding
86,195,269
87,991,698
Three Months Ended March 31,
(In thousands, except share and per share data)
2026
2025
(Unaudited)
$
Per Share
$
Per Share
Weighted average diluted shares outstanding
86,195,269
87,991,698
Net income
$ 54,038
$ 0.63
$ 20,390
$ 0.23
Income tax expense
3,971
0.05
1,651
0.02
Other income
(232)
—
(80)
—
Change in fair value of warrant liabilities
(21,295)
(0.25)
21,607
0.25
Other adjustments, net(a)
3,035
0.04
609
0.01
Adjusted EBT
39,517
0.46
44,177
0.50
Less: pro forma taxes(b)
9,472
0.11
10,360
0.12
Adjusted net income
$ 30,045
$ 0.35
$ 33,817
$ 0.38
(a) For the three months ended March 31, 2026, other adjustments, net of $3.0 million included $1.7 million in expenses related to stock compensation, $1.0 million in expenses related to corporate development, $0.2 million in expenses related to severance, and $0.1 million in expenses related to legal matters. For the three months ended March 31, 2025, other adjustments, net of $0.6 million included $1.3 million in expenses related to stock compensation, $0.3 million in expenses related to severance, $0.3 million in expenses related to legal matters, and $0.2 million in expenses related to an adjustment to the Company’s outstanding lease obligations, partially offset by a $1.4 million addback related to the partial forgiveness of remaining expenses related to OppFi Card’s exit activities. The sum of the individual components of other adjustments, net may not equal the total presented due to the use of rounded numbers for disclosure purposes.
(b) Assumes a tax rate of 23.97% for the three months ended March 31, 2026 and 23.45% for the three months ended March 31, 2025, reflecting the U.S. federal statutory rate of 21% and a blended statutory rate for state income taxes.
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SOURCE OppFi
Technology
AAON Reports First Quarter 2026 Results with Record Sales and Backlog, Robust Earnings Growth, and Raises Full-Year Guidance
Published
21 minutes agoon
May 7, 2026By
First Quarter 2026 Results
(All comparisons are year-over-year, unless otherwise noted)
Delivered record sales and accelerated earnings growth on strong demand and expanding production throughputNet sales grew 54.3% to a record $496.9 millionOperating margins reflected early benefits from improving utilization, with margin improvement expected to build as capacity absorption improvesGAAP diluted EPS increased 37.1% to $0.48 reflecting strong earnings growth on higher volumeTotal backlog increased 107.4% to a record $2.1 billion, driven by continued strength from the data center market
Raises 2026 Outlook
2026 outlook now reflects revenue growth of 40%-45%% and gross margins of approximately 27-28%, supported by record backlog, expanded capacity, and improving operational execution
TULSA, Okla., May 7, 2026 /PRNewswire/ — AAON, INC. (NASDAQ-AAON), a leader in high-performing, energy-efficient HVAC solutions that bring long-term value to customers and owners, today announced its results for the first quarter of 2026.
First Quarter 2026 Results
Net sales for the first quarter of 2026 increased 54.3% to $496.9 million, from $322.1 million in the first quarter of 2025. This growth was driven by strong demand across both the AAON and BASX brands, and accelerating production throughput made possible by investments made in capacity and operational execution. BASX-branded sales increased 72.4% to $228.6 million, reflecting continued strength in data center cooling demand, higher production volumes, and increased utilization of recently commissioned capacity. AAON-branded sales increased 41.6% to $268.4 million, supported by a strong backlog and accelerating production rates. Booking activity remained solid across both brands, supporting continued share gains and elevated backlog levels. BASX-branded products ended the quarter with backlog up 160.0%, while AAON‑branded bookings demonstrated continued resilience in a softer market environment.
Gross profit margin in the quarter was 25.1%, compared to 26.8% in the prior-year period. The year‑over‑year decline reflected unabsorbed fixed costs associated with recent capacity investments, temporary outsourcing used to support accelerated growth, and transitory price and cost timing dynamics. These effects are intentional and temporary, and are expected to unwind as internal capacity scales and utilization improves.
Selling, general and administrative expenses as a percent of sales declined 220 basis points to 13.7%, demonstrating strong operating leverage and disciplined cost management.
Earnings per diluted share were $0.48, an increase of 37.1% from $0.35 in the first quarter of 2025.
“First‑quarter results demonstrate strong earnings growth driven by higher volume, improved execution, and continued share gains,” said President and CEO Matt Tobolski. “We delivered record sales, improved cash flow, and higher production throughput across our manufacturing network. Importantly, the additional volume we are taking on is carrying attractive incremental contribution, allowing earnings to grow while we intentionally sequence margin improvement during this phase of capacity ramp.
“Our backlog provides exceptional visibility, particularly across the BASX-brand, and positions us to drive continued growth as we move through the year. At the same time, increasing utilization across existing capacity is expected to support margin improvement over time as fixed costs are absorbed, equipment comes fully online, and productivity continues to improve.
“As we progress through 2026, our priorities are clear and unchanged. Drive throughput, convert backlog, and deliver disciplined margin progression over time. We have built the foundation, and we are now focused on converting that foundation into durable earnings power and long-term returns.”
Backlog
March 31, 2026
December 31, 2025
March 31, 2025
(in thousands)
AAON-branded products
$ 509,806
$ 526,350
$ 403,863
BASX-branded products
1,619,649
1,302,145
623,006
$ 2,129,455
$ 1,828,495
$ 1,026,869
Total backlog increased 107.4% year-over-year to $2.13 billion, and increased 16.5% sequentially. The sequential growth was driven entirely by the BASX brand, with backlog increasing 24.4% from the prior quarter. Sustained data center demand and BASX’s custom-engineered solutions continue to support share gains. As planned, AAON-branded products backlog declined sequentially 3.1%, reflecting a deliberate increase in production to address extended lead times, with manufacturing output exceeding order intake during the quarter. Order activity of AAON equipment remained solid, supporting continued share gains despite softer end-market conditions.
2026 Outlook
Dr. Tobolski concluded, “We are encouraged by the start of the year and the momentum we are seeing across the business. Backlog and demand remain exceptionally strong, providing the visibility and stability needed to maintain a sharp focus on execution, production ramp‑up, and customer fulfillment. We are pleased with the benefits we are starting to see from operational investments, and we have meaningful opportunity ahead to further increase production volumes and enhance productivity, which support improved results over time.
“We now expect 2026 sales to grow 40%-45%, with gross margin of 27%-28%, reflecting intentional ramp decisions early in the year and improving margin as utilization and productivity increases through the year. We anticipate SG&A expenses as a percentage of sales will be 14%-15% and expect depreciation and amortization expenses of $95-$100 million.”
Current
Prior
Metric
FY26
FY26
YoY Sales Growth
40%-45%
18%-20%
Gross Profit Margin
27%-28%
29%-31%
SG&A as a % of sales
14%-15%
~16%
Depreciation & Amortization
$95M-$100M
$95M-$100M
Segment Results
AAON Oklahoma
Three Months Ended
(in thousands)
March 31, 2026
December 31, 2025
March 31, 2025
Net sales
$ 243,967
$ 215,503
$ 161,838
Gross profit
$ 64,272
$ 59,168
$ 40,600
Gross profit margin
26.3 %
27.5 %
25.1 %
Net sales for the AAON Oklahoma segment totaled $244.0 million, an increase of 50.7% year-over-year, driven by a strong starting backlog and ongoing production enhancements that improved backlog conversion despite a challenging industry environment. First‑quarter 2026 results also benefited from an easier year‑over‑year comparison, as the prior‑year period was disrupted by the industry’s refrigerant transition, contributing to regained market share.
Gross margin for the segment was 26.3%, compared to 25.1% in the first quarter of 2025. Overhead expenses associated with the new Memphis facility impacted segment margin by $9.8 million. Excluding these costs, segment margins were 29.6%. During the quarter, the segment was impacted by elevated outsourcing levels, price‑cost timing dynamics, and tariff‑related costs, all of which are temporary and do not change the long-term earnings power of the segment.
AAON Coil Products
Three Months Ended
(in thousands)
March 31, 2026
December 31, 2025
March 31, 2025
Net sales
$ 117,611
$ 102,619
$ 94,023
Gross profit
$ 28,302
$ 21,827
$ 29,858
Gross profit margin
24.1 %
21.3 %
31.8 %
Net sales for the AAON Coil Products segment totaled $117.6 million, up 25.1% compared to the same period last year. Growth was driven primarily by BASX-branded liquid cooling sales of $93.2 million, up 40.5% during the period, while AAON‑branded sales declined 11.8% year-over-year.
AAON Coil Products gross margin was 24.1%, declining year-over-year from 31.8%, but increasing sequentially from 21.3%. The sequential margin expansion reflected improved operating leverage on higher throughput at the Longview facility, including a favorable mix of higher-margin BASX sales.
BASX
Three Months Ended
(in thousands)
March 31, 2026
December 31, 2025
March 31, 2025
Net sales
$ 135,358
$ 106,095
$ 66,193
Gross profit
$ 32,391
$ 28,775
$ 15,906
Gross profit margin
23.9 %
27.1 %
24.0 %
Net sales for the BASX segment increased 104.5% to $135.4 million from $66.2 million in the prior-year period. The year-over-year growth reflected strong demand for data center equipment, supported by robust order intake and elevated backlog levels. Increased production from the Company’s new Memphis facility played a key role by expanding capacity and driving higher sales volumes.
BASX segment gross margin was 23.9%, unchanged from the prior-year period. Margin stability reflected strong volume growth, offset by incremental resources and investments to support future growth and share gains. These incremental costs also contributed to the sequential margin contraction.
Balance Sheet & Cash Flow
As of March 31, 2026, the company had cash, cash equivalents and restricted cash of $1.1 million and a balance on its revolving credit facility of $425.2 million. Andy Cheung, CFO and Treasurer, commented, “During the first quarter, operating cash flow totaled $34.0 million, representing the highest level since the third quarter of 2024. This improvement reflected higher earnings and enhanced working capital efficiency. Capital expenditures totaled $52.9 million, primarily reflecting continued investments in incremental capacity to support future growth. As improvements in profitability and productivity continue, we expect these trends to support stronger cash flow and a healthier balance sheet over time.”
Conference Call
The company will host a conference call and webcast this morning at 9:00 a.m. EST to discuss the first quarter of 2026 results and outlook. The conference call will be accessible via dial-in for those who wish to participate in Q&A as well as a listen-only webcast. The dial-in is accessible at 1-888-880-3330. To access the listen-only webcast, please register at https://app.webinar.net/x89XOEkP41z. On the next business day following the call, a replay of the call will be available on the company’s website at https://aaon.com/investors.
About AAON
Founded in 1988, AAON is a global leader in HVAC solutions for commercial, industrial and data center indoor environments. The company’s industry-leading approach to designing and manufacturing highly configurable and custom-made equipment to meet exact needs creates a premier ownership experience with greater efficiency, performance and long-term value. Its highly engineered equipment is sold under the AAON and BASX brands. AAON is headquartered in Tulsa, Oklahoma, where its world-class innovation center and testing lab allows AAON engineers to continuously push boundaries and advance the industry. For more information, please visit www.aaon.com.
Forward-Looking Statements
This press release includes “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “expects”, “anticipates”, “intends”, “plans”, “believes”, “seeks”, “estimates”, “should”, “will”, and variations of such words and similar expressions are intended to identify such forward-looking statements. These statements are not guarantees of future performance and involve certain risks, uncertainties and assumptions, which are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in such forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date on which they are made. We undertake no obligations to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise. Important factors that could cause results to differ materially from those in the forward-looking statements include (1) the timing and extent of changes in raw material and component prices, (2) the effects of fluctuations in the commercial/industrial new construction market, (3) the timing and extent of changes in interest rates, as well as other competitive factors during the year, and (4) general economic, market or business conditions. For a discussion of such risks and uncertainties, which could cause actual results to differ from those contained in any forward-looking statements, see “Risk Factors” and “Forward Looking Statements” in AAON’s Annual Report on Form 10-K for the most recent fiscal year, as may be revised and updated by AAON’s Quarterly Reports on Form 10-Q, and AAON’s Current Reports on Form 8-K.
Contact Information
Joseph Mondillo
Director of Investor Relations & Corporate Strategy
Phone: (617) 877-6346
Email: joseph.mondillo@aaon.com
AAON, Inc. and Subsidiaries
Consolidated Statements of Income
(Unaudited)
Three Months Ended March 31,
2026
2025
(in thousands, except per share data)
Net sales
$ 496,936
$ 322,054
Cost of sales
371,971
235,690
Gross profit
124,965
86,364
Selling, general and administrative expenses
67,906
51,293
Gain on disposal of assets
—
(40)
Income from operations
57,059
35,111
Interest expense
(5,055)
(2,802)
Other income, net
77
174
Income before taxes
52,081
32,483
Income tax provision
12,266
3,191
Net income
$ 39,815
$ 29,292
Earnings per share:
Basic EPS
$ 0.49
$ 0.36
Diluted EPS
$ 0.48
$ 0.35
Cash dividends declared per common share:
$ 0.10
$ 0.10
Weighted average shares outstanding:
Basic
81,756,604
81,472,351
Diluted
83,179,954
83,351,536
AAON, Inc. and Subsidiaries
Segment Net Sales and Profit
(Unaudited)
Three Months Ended March 31,
2026
2025
(in thousands)
AAON Oklahoma
External sales
$ 243,967
$ 161,838
Inter-segment sales
44,509
3,839
Eliminations
(44,509)
(3,839)
Net sales
243,967
161,838
Cost of sales1
179,695
121,238
Gross profit
64,272
40,600
AAON Coil Products
External sales
$ 117,611
$ 94,023
Inter-segment sales
6,818
3,579
Eliminations
(6,818)
(3,579)
Net sales
117,611
94,023
Cost of sales1
89,309
64,165
Gross profit
28,302
29,858
BASX
External sales
$ 135,358
$ 66,193
Inter-segment sales
(2)
43
Eliminations
2
(43)
Net sales
135,358
66,193
Cost of sales1
102,967
50,287
Gross profit
32,391
15,906
Consolidated gross profit
$ 124,965
$ 86,364
1 Presented after intercompany eliminations.
The reconciliation between consolidated gross profit to consolidated income from operations is as follows:
Consolidated gross profit
$ 124,965
$ 86,364
Less: Selling, general and administrative expenses
67,906
51,293
Add: gain on disposal of assets
—
(40)
Consolidated income from operations
$ 57,059
$ 35,111
AAON, Inc. and Subsidiaries
Consolidated Balance Sheets
(Unaudited)
March 31,
2026
December 31,
2025
2026
2025
Assets
(in thousands, except share and per share data)
Current assets:
Cash and cash equivalents
$ 13
$ 13
Restricted cash
1,087
1,226
Accounts receivable, net
290,161
314,387
Income tax receivable
19,691
27,445
Inventories, net
313,203
261,151
Contract assets, net
298,368
247,037
Prepaid expenses and other
21,177
17,921
Total current assets
943,700
869,180
Property, plant and equipment, net
654,857
631,262
Intangible assets, net and goodwill
171,913
165,799
Right of use assets
17,335
17,988
Other long-term assets
1,907
2,281
Total assets
$ 1,789,712
$ 1,686,510
Liabilities and Stockholders’ Equity
Current liabilities:
Short-term obligations of NMTC1
7,535
7,535
Accounts payable
160,139
110,437
Accrued liabilities
136,731
132,213
Contract liabilities
55,229
80,670
Total current liabilities
359,634
330,855
Debt, long-term
425,154
398,320
Deferred tax liabilities
34,899
30,313
Other long-term liabilities
27,038
23,299
New markets tax credit obligations1
8,778
8,738
Commitments and contingencies (Note 19)
Stockholders’ equity:
Preferred stock, $.001 par value, 5,000,000 shares authorized, no shares issued
—
—
Common stock, $.004 par value, 200,000,000 shares authorized, 81,851,483 and 81,691,075 issued and outstanding at March 31, 2026 and December 31, 2025, respectively
327
327
Additional paid-in capital
71,913
64,358
Retained earnings
861,969
830,300
Total stockholders’ equity
934,209
894,985
Total liabilities and stockholders’ equity
$ 1,789,712
$ 1,686,510
1 Held by variable interest entities
AAON, Inc. and Subsidiaries
Consolidated Statements of Cash Flows
(Unaudited)
Three Months Ended March 31,
2026
2025
Operating Activities
(in thousands)
Net income
$ 39,815
$ 29,292
Adjustments to reconcile net income to net cash provided by (used in) operating activities
Depreciation and amortization
20,903
18,943
Amortization of debt issuance costs
40
52
Amortization of right of use assets
40
25
(Recoveries of) Provision for losses on accounts receivable, net of adjustments
(120)
88
Provision for excess and obsolete inventories, net of write-offs
701
57
Share-based compensation
7,696
4,021
Other
—
(45)
Deferred income taxes
4,586
5,976
Changes in assets and liabilities:
Accounts receivable
24,346
(17,631)
Income tax receivable
7,754
(3,323)
Inventories
(52,753)
(11,489)
Contract assets
(51,331)
(53,235)
Prepaid expenses and other long-term assets
(1,487)
(2,703)
Accounts payable
50,375
21,625
Contract liabilities
(25,441)
1,508
Extended warranties
4,387
37
Accrued liabilities and other long-term liabilities
4,483
(2,412)
Net cash provided by (used in) operating activities
33,994
(9,214)
Investing Activities
Capital expenditures
(45,127)
(46,723)
Grant proceeds received
1,650
—
Proceeds from sale of property, plant and equipment
—
40
Acquisition of intangible assets
(7,808)
(3,717)
Principal payments from note receivable
—
12
Net cash used in investing activities
(51,285)
(50,388)
Financing Activities
Borrowings of debt
252,867
235,925
Payments of debt
(226,033)
(138,411)
Payment related to financing costs
(1,395)
—
Stock options exercised
3,062
4,356
Repurchase of stock – open market
—
(31,536)
Repurchases of stock – LTIP plans (Note 17)
(3,203)
(6,768)
Cash dividends paid to stockholders
(8,146)
(8,095)
Net cash provided by financing activities
17,152
55,471
Net decrease in cash, cash equivalents, and restricted cash
(139)
(4,131)
Cash, cash equivalents, and restricted cash, beginning of period
1,239
6,514
Cash, cash equivalents, and restricted cash, end of period
$ 1,100
$ 2,383
Use of Non-GAAP Financial Measures
To supplement the company’s consolidated financial statements presented in accordance with generally accepted accounting principles (“GAAP”), additional non-GAAP financial measures are provided and reconciled in the following tables. The company believes that these non-GAAP financial measures, when considered together with the GAAP financial measures, provide information that is useful to investors in understanding period-over-period operating results. The company believes that this non-GAAP financial measure enhances the ability of investors to analyze the company’s business trends and operating performance as they are used by management to better understand operating performance. Since adjusted net income, adjusted net income per diluted share, EBITDA, adjusted EBITDA, and adjusted EBITDA margin are non-GAAP measures and are susceptible to varying calculations, adjusted net income, adjusted net income per diluted share, EBITDA, adjusted EBITDA, and adjusted EBITDA margin, as presented, may not be directly comparable with other similarly titled measures used by other companies.
Non-GAAP Adjusted Net Income
The company defines non-GAAP adjusted net income as net income adjusted for any infrequent events, such as litigation settlements, net of profit sharing and tax effect, in the periods presented.
The following table provides a reconciliation of net income (GAAP) to non-GAAP adjusted net income for the periods indicated:
Three Months Ended March 31,
2026
2025
(in thousands)
Net income, a GAAP measure
$ 39,815
$ 29,292
Add: Memphis incentive fee1
—
2,700
Profit sharing effect2
—
(230)
Tax effect
—
(627)
Non-GAAP adjusted net income
$ 39,815
$ 31,135
Non-GAAP adjusted earnings per diluted share
$ 0.48
$ 0.37
1The incentive fee relates to fees payable to our real estate broker associated with the acquisition of our Memphis, Tenn. plant for a percentage of the incentives awarded to us by various entities.
2Profit sharing effect of the Memphis incentive fee in the respective period.
EBITDA
EBITDA (as defined below) is presented herein and reconciled from the GAAP measure of net income because of its wide acceptance by the investment community as a financial indicator of a company’s ability to internally fund operations. The company defines EBITDA as net income, plus (1) depreciation and amortization, (2) interest expense (income), net and (3) income tax expense. EBITDA is not a measure of net income or cash flows as determined by GAAP. EBITDA margin is defined as EBITDA as a percentage of net sales.
The company’s EBITDA measure provides additional information which may be used to better understand the company’s operations. EBITDA is one of several metrics that the company uses as a supplemental financial measurement in the evaluation of its business and should not be considered as an alternative to, or more meaningful than, net income, as an indicator of operating performance. Certain items excluded from EBITDA are significant components in understanding and assessing a company’s financial performance. EBITDA, as used by the company, may not be comparable to similarly titled measures reported by other companies. The company believes that EBITDA is a widely followed measure of operating performance and is one of many metrics used by the company’s management team and by other users of the company’s consolidated financial statements.
Adjusted EBITDA is calculated as EBITDA adjusted by items in non-GAAP adjusted net income, above, except for taxes, as taxes are already excluded from EBITDA.
The following table provides a reconciliation of net income (GAAP) to EBITDA (non-GAAP) and Adjusted EBITDA (non-GAAP) for the periods indicated:
Three Months Ended March 31,
2026
2025
(in thousands)
Net income, a GAAP measure
$ 39,815
$ 29,292
Depreciation and amortization
20,903
18,943
Interest expense, net
5,055
2,802
Income tax expense
12,266
3,191
EBITDA, a non-GAAP measure
$ 78,039
$ 54,228
Add: Memphis incentive fee1
—
2,700
Profit sharing effect2
—
(230)
Adjusted EBITDA, a non-GAAP measure
$ 78,039
$ 56,698
Adjusted EBITDA margin
15.7 %
17.6 %
1The incentive fee relates to fees payable to our real estate broker associated with the acquisition of our Memphis, Tenn. plant for a percentage of the incentives awarded to us by various entities.
2Profit sharing effect of the Memphis incentive fee in the respective period.
Non-GAAP Adjusted Selling, General and Administrative Expenses
The following table provides a reconciliation of selling, general and administrative expenses (GAAP) to adjusted selling, general and administrative expenses (non-GAAP) for the periods indicated:
Three Months Ended March 31,
2026
2025
(in thousands)
Non-GAAP Adjusted Selling, General and Administrative Expenses
SG&A, a GAAP measure
$ 67,906
$ 51,293
Less: Memphis Incentive Fee1
—
2,700
Profit Sharing effect2
—
(230)
Non-GAAP adjusted SG&A expenses
$ 67,906
$ 48,823
As a percent of sales
13.7 %
15.2 %
1The incentive fee relates to fees payable to our real estate broker associated with the acquisition of our Memphis, Tenn. plant for a percentage of the incentives awarded to us by various entities.
2Profit sharing effect of the Memphis incentive fee in the respective period.
View original content to download multimedia:https://www.prnewswire.com/news-releases/aaon-reports-first-quarter-2026-results-with-record-sales-and-backlog-robust-earnings-growth-and-raises-full-year-guidance-302765303.html
SOURCE AAON
Technology
Tetrous® Wins “Most Exciting New Product” Award at Shoulder 360™
Published
21 minutes agoon
May 7, 2026By
Following its ACE (Advancing Cutting-Edge) Award win in 2024, Tetrous is recognized once again, this time by Shoulder 360™ for its EnFix® product line.
LOS ANGELES, May 7, 2026 /PRNewswire/ — Tetrous, Inc., an emerging leader in orthopedic sports medicine innovation, today announced it has been awarded “Most Exciting New Product” at Shoulder 360, recognizing the company’s continued advancement in solutions for bone-to-tendon healing.
This latest honor builds on Tetrous’ earlier recognition at the AOSSM Annual Meeting, where the company received the prestigious ACE (Advancing Cutting-Edge) Award in 2024—a distinction given to breakthrough technologies with the potential to meaningfully improve patient outcomes in sports medicine. Shoulder 360™ is the pre-eminent forum meeting annually to educate the spectrum of health care providers caring for patients with shoulder disorders.
Tetrous’ product line, including EnFix RC®, EnFix TAC-O®, EnFix TAC-T®, and EnFix ACL™, is designed to address longstanding challenges in orthopedic soft tissue repair, particularly in procedures such as rotator cuff repair, where failure rates remain a significant concern. Restoring the bone-to-tendon interface, known as the enthesis, ultimately determines healing and long-term success.
Tetrous offers the only demineralized bone fiber (DBF) implant designed specifically for placement within bone at the bone-tendon interface, supplying the biological drivers for repair. When the mineral component is removed from allograft bone, the bone morphogenic proteins (i.e. growth factors) are exposed, allowing them to help stimulate new tissue formation. The peg design of EnFix allows surgeons to place the implant directly into the bone at the repair site, while the internal cannulation allows bone marrow cells to access the implant and initiate healing.
Significant Commercial Progress
Since receiving its prior “technology” award, Tetrous has demonstrated significant commercial and clinical progress:
Expanded to more than 100 surgeon users with three times year over year surgeon growthSurpassed 3,500 implanted devices, reflecting strong clinical adoptionExpanded clinical use of EnFix across multiple anatomical enthesesCompleted first cases with EnFix ACL for Anterior Cruciate Ligament ReconstructionScaled distribution internationally, with active markets in the United States, Australia, and New Zealand, and planned expansion into Taiwan
Raffy Mirzayan, MD, DOCS Health, Clinical Professor of Orthopaedic Surgery at USC Keck School of Medicine, Los Angeles, and Co-Founder of Shoulder360 said: “Shoulder360 was proud to award the ‘Most Exciting New Product/Service Award’ for 2026 to Tetrous. The winner of the award is voted on by surgeon attendees. Tetrous stood out for its efforts to highlight Enthesis healing with its exciting new EnFix product.”
“The rapid pace of adoption we’ve seen in the past year is incredibly encouraging,” said John Bojanowski, Director and Chief Commercial Officer. “Surpassing 3,500 implants and expanding internationally are strong indicators that surgeons recognize the value of what Tetrous is bringing to the OR.”
“Our recognition at Shoulder 360 reflects the growing confidence from surgeons who are recognizing that we have introduced a differentiated solution that can complete the healing triad of (a) fixation, (b) structure and, now with Tetrous, (c) biology – leading to better outcomes for patients,” said Bradley Patt, PhD, Co-founder, Director and CEO.
About Tetrous, Inc.
Founded in 2019, Tetrous, Inc. utilizes next generation advanced technologies for enthesis repair in sports medicine applications. The EnFix family of demineralized bone fiber implants includes EnFix RC®, EnFix TAC® and EnFix ACL™, designed to enhance the natural healing response by supporting biologic reformation at the bone-to-tendon junction. By focusing on clinically validated technologies that reduce failure rates, accelerate recovery, and restore function, Tetrous is helping surgeons achieve consistent, evidence-based results that translate into both short-term return to normal activities and long-term positive outcomes for patients.
Tetrous enjoys significant IP protection for its EnFix family of products with multiple issued patents and, additionally, has an exclusive license to the demineralized bone fiber technology used in its products for sports medicine applications from TheraCell, an ISTO Biologics Company.
Tetrous®, EnFix®, EnFix RC®, EnFix TAC® and EnFix ACL™ are trademarks of Tetrous, Inc.
For more information visit Tetrous, Inc., and follow us on LinkedIn.
Media Contact:
Ronda Taylor
Tetrous, Inc.
331-307-7499
rtaylor@tetrous.com
Product Information:
John Bojanowski
Tetrous, Inc.
331-307-7499
jbojanowski@tetrous.com
View original content to download multimedia:https://www.prnewswire.com/news-releases/tetrous-wins-most-exciting-new-product-award-at-shoulder-360-302764891.html
SOURCE Tetrous
OppFi Reports First Quarter 2026 Results, Record Quarterly Revenue
AAON Reports First Quarter 2026 Results with Record Sales and Backlog, Robust Earnings Growth, and Raises Full-Year Guidance
Tetrous® Wins “Most Exciting New Product” Award at Shoulder 360™
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