Month: October 2026

LOUISVILLE, Ky., Oct. 28, 2026 (GLOBE NEWSWIRE) — Churchill Downs Incorporated (Nasdaq: CHDN) (the “Company,” “CDI,” “we”) today reported business results for the quarter ended September 30, 2026.

Company Highlights

• Third quarter 2026 financial results, as compared to the prior year quarter:
  • Record net revenue of $696 million, up $13 million or 2%
  • Record net income attributable to CDI of $80 million, up $42 million
    • Excluding 3Q’25 one-time, non-cash impairment and insurance recovery, net income attributable to CDI was up $10 million or 26%
  • Record Adjusted EBITDA of $264 million, up $2 million or 1%
    • Excluding 3Q’25 insurance recovery, Adjusted EBITDA was up $6 million or 2%
• We announced the Thoroughbred Championship Series with the New York Racing Association (“NYRA”) beginning with the Kentucky Oaks and Kentucky Derby in 2027.
• We received approval to relocate and expand our Rosie’s Collinsville historical racing machines (“HRM”) venue to 150 HRMs within Henry County, Virginia.
• We completed the acquisition of 49% of United Tote Company (“United Tote”) from NYRA and extended NYRA’s tote services agreement with United Tote through 2035.
• We entered into a new $500 million Term Loan B due 2033 (the “2033 TLB”) and amended and extended our Revolver and Term Loan A facility at favorable rates.
• The Board of Directors declared a $0.469 per share dividend (+7%) to shareholders of record as of December 4, 2026 and payable on January 5, 2027.
• The Board of Directors approved a new $750 million share repurchase program. The new authorization includes and is not in addition to the $306 million previously remaining under the prior repurchase program authorization as of the close of trading on October 27, 2026.
• We ended the third quarter of 2026 with net bank leverage of 3.8x and returned $48 million of capital to our shareholders through share repurchases during the quarter.

CONSOLIDATED RESULTS
	Third Quarter
(in millions, except per share data)	2026			2025
Net revenue	$	696		$	683
Net income attributable to CDI	$	80		$	38
Diluted EPS attributable to CDI	$	1.15		$	0.54
Adjusted EBITDA(a)	$	264		$	262
(a) This is a non-GAAP measure. See explanation of non-GAAP measures below.

SEGMENT RESULTS

The summaries below present revenue from external customers and intercompany revenue from each of our reportable segments. All comparisons are against the applicable prior year period unless otherwise noted.

Live and Historical Racing

	Third Quarter
(in millions)	2026			2025
Revenue	$	315		$	305
Adjusted EBITDA		111			116

Third quarter 2026 revenue increased $10 million due to an $11 million increase from our Kentucky HRM venues and a $1 million increase from Churchill Downs Racetrack, partially offset by a $1 million decrease from our Virginia HRM venues and a $1 million decrease from our New Hampshire venues. The Kentucky HRM increase was due to a $7 million increase from our Southwestern Kentucky venues, a $2 million increase from our Northern Kentucky venues, a $1 million increase from our Western Kentucky venues, and a $1 million increase from our Louisville venues. The Virginia HRM decrease was due to a $6 million net decrease from our Central Virginia venues primarily from increased competition, partially offset by a $4 million net increase from our Northern Virginia venues and a $1 million increase at our Western Virginia venue. The New Hampshire decrease was due to the closure of our temporary Casino Salem venue during the construction of our new Rockingham Grand Casino venue.

Third quarter 2026 Adjusted EBITDA decreased $5 million due to a $6 million decrease from our Virginia HRM venues, a $4 million decrease due to a one-time business interruption insurance recovery received in the prior year quarter for our Northern Virginia venue, and a $1 million decrease at our New Hampshire venues, partially offset by a $6 million increase from our Kentucky HRM venues. The Virginia HRM decrease was primarily due to a $10 million decrease from our Central Virginia venues that was partially offset by a $3 million increase from our Northern Virginia venue and a $1 million net increase from our Western Virginia and Southern Virginia venues. The decrease from our Central Virginia venues was primarily due to increased competition and a $5 million new tax expense related to live race days under the new racing and HRM tax structure that became effective July 1, 2026. Our Virginia HRM venues continue to benefit from a statewide HRM handle tax reduction that became effective July 1, 2025 as part of this new tax structure. The New Hampshire decrease was due to the closure of our temporary Casino Salem venue during the construction of our Rockingham Grand Casino venue. The Kentucky HRM increase was due to a $3 million increase from our Southwestern Kentucky venues, a $2 million increase from our Northern Kentucky venues, and a $1 million increase from our Louisville venues.

Wagering Services and Solutions

	Third Quarter
(in millions)	2026			2025
Revenue	$	126		$	127
Adjusted EBITDA		48			46

Third quarter 2026 revenue decreased $1 million due to a decrease from our sports betting business.

Third quarter 2026 Adjusted EBITDA increased $2 million primarily due to an increase in our Horse Racing business.

Gaming

	Third Quarter
(in millions)	2026			2025
Revenue	$	273		$	266
Adjusted EBITDA		128			123

Third quarter 2026 revenue increased $7 million primarily due to increases from our wholly-owned New York, Pennsylvania, and Maine properties.

Third quarter 2026 Adjusted EBITDA increased $5 million. Our equity investments increased $3 million from strong performance at Rivers Des Plaines in Illinois and Miami Valley Gaming in Ohio. Our wholly-owned gaming properties increased $2 million primarily from our New York property.

All Other

	Third Quarter
(in millions)		2026				2025
Revenue	$	2			$	2
Adjusted EBITDA		(23	)			(23	)

Third quarter 2026 revenue is consistent with the prior year. All intercompany captive revenue is eliminated in consolidation.

Third quarter 2026 Adjusted EBITDA is consistent with the prior year.

CAPITAL MANAGEMENT

United Tote Acquisition

On August 3, 2026, the Company closed on its previously announced acquisition of 49% of United Tote Company from NYRA Content Management Solutions, LLC, a subsidiary of NYRA. Concurrent with this transaction, NYRA has agreed to extend its tote services agreement with United Tote through 2035.

Credit Agreement

On September 25, 2026, the Company closed the eighth amendment to its senior secured credit facility (the “Credit Agreement”) to (i) extend the maturity date of its Revolver and Term Loan A from July 2029 to September 2031, (ii) eliminate the 10 basis points credit spread adjustment previously applicable, and (iii) amend certain other provisions of the Credit Agreement.

The Company also entered into the $500 million 2033 TLB under its Credit Agreement. The 2033 TLB was issued at 99.875% of the principal amount and has a maturity date of September 25, 2033. The 2033 TLB bears interest at SOFR plus 175 basis points. The Company used a portion of the net proceeds from the 2033 TLB to repay indebtedness outstanding under its 2028 TLB, repay indebtedness outstanding under its 2031 Revolver, to fund related transaction fees and expenses, and for working capital and other general corporate purposes.

On October 19, 2026, the Company redeemed the 2027 Senior Notes with borrowings from the 2031 Revolver.

Annual Dividend

On October 27, 2026, the Company’s Board of Directors declared an annual cash dividend on the Company’s common stock of $0.469 per outstanding share, a seven percent increase over the prior year. The dividend is payable on January 5, 2027, to shareholders of record as of the close of business on December 4, 2026, with the aggregate cash dividend to be paid to each shareholder rounded to the nearest whole cent. This will be the sixteenth consecutive year that the Company has increased the dividend per share.

Share Repurchase Program

The Company repurchased 570,169 shares of its common stock at a total cost of $48 million in the third quarter of 2026. We had approximately $382 million of repurchase authority remaining under the July 2025 Stock Repurchase Program as of September 30, 2026.

On October 27, 2026, the Company’s Board of Directors approved a new common stock repurchase program of up to $750 million (the “October 2026 Stock Repurchase Program”). The October 2026 Stock Repurchase Program includes and is not in addition to the $306 million remaining under the July 2025 Stock Repurchase Program as of the close of trading on October 27, 2026.

NET INCOME ATTRIBUTABLE TO CDI

The Company’s third quarter 2026 net income attributable to CDI was $80 million compared to $38 million in the prior year quarter.

The following factors impacted the comparability of the Company’s third quarter 2026 net income to the prior year quarter:

• a $35 million after-tax impairment charge in the prior year quarter related to the impairment of the Chasers’ gaming rights.

This was offset by:

• a $2 million after-tax increase in other charges and recoveries, net.

Excluding the items above, third quarter 2026 adjusted net income attributable to CDI increased $9 million primarily due to the following:

• a $4 million after-tax increase in equity income from our unconsolidated affiliates;
• a $3 million after-tax increase primarily driven by the results of our operations;
• a $1 million after-tax decrease in interest expense; and
• a $1 million after-tax decrease of the portion of the Company’s income from United Tote and our facility in New Hampshire being recognized as income attributable to a noncontrolling interest.

Conference Call

A conference call regarding this news release is scheduled for Thursday, October 29, 2026 at 9 a.m. ET. Investors and other interested parties may listen to the teleconference by accessing the online, real-time webcast and broadcast of the call at https://ir.churchilldownsincorporated.com/events-presentations, or by registering in advance via teleconference here. Once registration is completed, participants will be provided with a dial-in number containing a personalized conference code to access the call. All participants are encouraged to dial-in 15 minutes prior to the start time. An online replay will be available by noon ET on Thursday, October 29, 2026. A copy of the Company’s news release announcing quarterly results and relevant financial and statistical information about the period will be accessible at www.churchilldownsincorporated.com.

Use of Non-GAAP Measures

In addition to the results provided in accordance with U.S. generally accepted accounting principles (“GAAP”), the Company also uses non-GAAP measures, including adjusted net income, adjusted diluted EPS, EBITDA (earnings before interest, taxes, depreciation and amortization), and Adjusted EBITDA.

The Company uses non-GAAP measures as key performance measures of the results of operations for purposes of evaluating performance internally. These measures facilitate comparison of operating performance between periods and help investors to better understand the operating results of the Company by excluding certain items that may not be indicative of the Company’s core business or operating results. The Company believes the use of these measures enables management and investors to evaluate and compare, from period to period, the Company’s operating performance in a meaningful and consistent manner. The non-GAAP measures are supplemental measures of our performance that are not required by, or presented in accordance with, GAAP, and should not be considered as an alternative to, or more meaningful than, net income or diluted EPS (as determined in accordance with GAAP) as a measure of our operating results.

We use Adjusted EBITDA to evaluate segment performance, develop strategy, and allocate resources. We utilize the Adjusted EBITDA metric to provide a more accurate measure of our core operating results and enable management and investors to evaluate and compare from period to period our operating performance in a meaningful and consistent manner. Adjusted EBITDA should not be considered as an alternative to operating income as an indicator of performance, as an alternative to cash flows from operating activities as a measure of liquidity, or as an alternative to any other measure provided in accordance with GAAP. Our calculation of Adjusted EBITDA may be different from the calculation used by other companies and, therefore, comparability may be limited.

Adjusted net income and adjusted diluted EPS exclude discontinued operations net income or loss; net income or loss attributable to noncontrolling interests; transaction expense, which includes acquisition and disposition related charges, as well as legal, accounting, and other deal-related expense; pre-opening expense; and certain other gains, charges, recoveries, and expenses.

Adjusted EBITDA includes our portion of EBITDA from our equity investments and the portion of EBITDA attributable to noncontrolling interests.

Adjusted EBITDA excludes:

• Transaction expense, net, which includes:
  • Acquisition, disposition, and property sale related charges; and
  • Other transaction expense, including legal, accounting, and other deal-related expense;
• Stock-based compensation expense;
• Rivers Des Plaines’ impact on our investments in unconsolidated affiliates from legal reserves and transaction costs;
• Asset impairments, net;
• Gain on property sales;
• Legal reserves;
• Pre-opening expense; and
• Other charges, recoveries, and expenses

For segment reporting, Adjusted EBITDA includes intercompany revenue and expense totals that are eliminated in the Condensed Consolidated Statements of Comprehensive Income. See the Reconciliation of Net Income to Adjusted EBITDA included herewith for additional information.

About Churchill Downs Incorporated

Churchill Downs Incorporated (“CDI”) (Nasdaq: CHDN) has created extraordinary entertainment experiences for over 150 years, beginning with the Company’s most iconic and enduring asset, Churchill Downs Racetrack, the home of the Kentucky Derby and premier races of the Thoroughbred Championship Series. Headquartered in Louisville, Kentucky, CDI has expanded through the acquisition, development, and operation of live and historical racing entertainment venues, the growth of the online wagering businesses, and the acquisition, development, and operation of regional casino gaming properties. www.churchilldownsincorporated.com

This news release contains various “forward-looking statements” within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are typically identified by the use of terms such as “anticipate,” “believe,” “could,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “predict,” “project,” “seek,” “should,” “will,” “scheduled,” and similar words or similar expressions (or negative versions of such words or expressions), although some forward-looking statements are expressed differently.

Although we believe that the expectations reflected in such forward-looking statements are reasonable, we can give no assurance that such expectations will prove to be correct. Important factors that could cause actual results to differ materially from expectations include the following: the occurrence of extraordinary events, such as terrorist attacks, public health threats, civil unrest, and inclement weather, including as a result of climate change; the effect of economic conditions on our consumers’ confidence and discretionary spending or our access to credit, including the impact of inflation; changes in, or new interpretations of, applicable tax laws or rulings that could result in additional tax liabilities; the impact of any pandemics, epidemics, or outbreaks of infectious diseases, and related economic matters on our results of operations, financial conditions, and prospects; lack of confidence in the integrity of our core businesses or any deterioration in our reputation; negative shifts in public opinion regarding gambling that could result in increased regulation of, or new restrictions on, the gaming industry; loss of key or highly skilled personnel, as well as general disruptions in the labor market; the impact of significant competition, and the expectation that competition levels will increase; changes in consumer preferences, attendance, wagering, and sponsorships; risks associated with equity investments, strategic alliances and other third-party agreements; inability to respond to rapid technological changes in a timely manner; concentration and evolution of slot machine and historical racing machine manufacturing and other technology conditions that could impose additional costs; failure to enter into or maintain agreements with industry constituents, including horsemen and other racetracks; cybersecurity risk, including cybersecurity breaches, loss or misuse of our confidential information as a result of a breach including customers’ personal information, or IT system operational disruptions, could lead to government enforcement actions or other litigation; costs of compliance with increasingly complex laws and regulations regarding data privacy and protection of personal information; reliance on our technology services and catastrophic events, system failures, errors or defects disrupting our operations; inability to identify, complete, or fully realize the benefits of our proposed acquisitions, divestitures, development of new venues or the expansion of existing facilities on time, on budget, or as planned; difficulty in integrating recent or future acquisitions into our operations; cost overruns and other uncertainties associated with the development of new venues and the expansion of existing facilities; general risks related to real estate ownership and significant expenditures, including risks related to environmental liabilities; personal injury litigation related to injuries occurring at our racetracks; compliance with the Foreign Corrupt Practices Act or other similar laws and regulations, or applicable anti-money laundering regulations; payment-related risks, such as risk associated with fraudulent credit card or debit card use; work stoppages and labor problems; risks related to pending or future legal proceedings and other actions; highly regulated operations and changes in the regulatory environment could adversely affect our business; restrictions in our debt facilities limiting our flexibility to operate our business; failure to comply with the financial ratios and other covenants in our debt facilities and other indebtedness; increases to interest rates, disruption in the credit markets or changes to our credit ratings may adversely affect our business; increase in our insurance costs, or inability to obtain similar insurance coverage in the future, and any inability to recover under our insurance policies for damages sustained at our properties in the event of inclement weather and casualty events; whether the objective of a strategic alternative review process will be achieved; the terms, structure, benefits and costs of any strategic transaction; the timing of any strategic transaction and whether any strategic transaction will be consummated on the terms proposed or at all; the risk that the announcement or exploration of strategic alternatives could have an adverse effect on our ability to retain key personnel and maintain relationships with partners, suppliers, employees, shareholders and other business relationships; the risk of any unexpected costs or expenses resulting from the exploration of strategic alternatives; the risk of any litigation relating to the exploration of strategic alternatives or any strategic transaction; and other factors described under the heading “Risk Factors” in our most recent Annual Report on Form 10-K and in other filings we make with the Securities and Exchange Commission.

We do not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

CHURCHILL DOWNS INCORPORATED CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited)
	Three Months Ended September 30,								Nine Months Ended September 30,
(in millions, except per common share data)		2026				2025				2026				2025
Net revenue:
Live and Historical Racing	$	308			$	300			$	1,148			$	1,083
Wagering Services and Solutions		116				118				392				383
Gaming		272				265				799				794
All Other		—				—				—				—
Total net revenue		696				683				2,339				2,260
Operating expense:
Live and Historical Racing		216				205				683				651
Wagering Services and Solutions		76				77				240				235
Gaming		195				192				575				575
All Other		2				5				12				13
Selling, general and administrative expense		60				59				180				175
Asset impairments, net		—				46				—				48
Transaction expense, net		4				1				6				3
Total operating expense		553				585				1,696				1,700
Operating income		143				98				643				560
Other (expense) income:
Interest expense, net		(69	)			(75	)			(211	)			(222	)
Equity in income of unconsolidated affiliates		38				35				115				105
Miscellaneous, net		(1	)			3				5				6
Total other (expense) income		(32	)			(37	)			(91	)			(111	)
Income from operations before provision for income taxes		111				61				552				449
Income tax provision		(31	)			(22	)			(147	)			(115	)
Net income		80				39				405				334
Net income attributable to noncontrolling interests		—				1				1				2
Net income attributable to Churchill Downs Incorporated	$	80			$	38			$	404			$	332
Net income attributable to Churchill Downs Incorporated per common share data:
Basic net income	$	1.15			$	0.54			$	5.75			$	4.59
Diluted net income	$	1.15			$	0.54			$	5.73			$	4.55
Weighted average shares outstanding:
Basic		70				70				70				72
Diluted		70				71				70				73

CHURCHILL DOWNS INCORPORATED CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited)
(in millions)	September 30, 2026				December 31, 2025
ASSETS
Current assets:
Cash and cash equivalents	$	167			$	201
Restricted cash		92				88
Accounts receivable, net		106				93
Income taxes receivable		—				17
Other current assets		53				44
Total current assets		418				443
Property and equipment, net		2,921				2,919
Investment in and advances to unconsolidated affiliates		694				685
Goodwill		900				900
Other intangible assets, net		2,510				2,515
Other assets		24				23
Total assets	$	7,467			$	7,485
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	221			$	184
Accrued expenses and other current liabilities		403				400
Income taxes payable		3				—
Current deferred revenue		36				55
Current maturities of long-term debt and notes payable		659				63
Dividends payable		—				31
Total current liabilities		1,322				733
Long-term debt, net of current maturities and loan origination fees		1,578				1,986
Notes payable, net of current maturities and debt issuance costs		2,485				3,081
Non-current deferred revenue		12				15
Deferred income taxes		582				520
Other liabilities		85				94
Total liabilities		6,064				6,429
Commitments and contingencies
Redeemable noncontrolling interest		24				46
Shareholders’ equity:
Preferred stock		—				—
Common stock		—				—
Retained earnings		1,380				1,011
Accumulated other comprehensive loss		(1	)			(1	)
Total Churchill Downs Incorporated shareholders’ equity		1,379				1,010
Total liabilities and shareholders’ equity	$	7,467			$	7,485

CHURCHILL DOWNS INCORPORATED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited)
	Nine Months Ended September 30,
(in millions)		2026				2025
Cash flows from operating activities:
Net income	$	405			$	334
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		176				174
Distributions from unconsolidated affiliates		106				91
Equity in income of unconsolidated affiliates		(115	)			(105	)
Stock-based compensation		19				18
Deferred income taxes		62				58
Asset impairments		—				88
Gain on settlement of liability		—				(40	)
Amortization of operating lease assets		5				5
Other		8				8
Changes in operating assets and liabilities:
Income taxes		20				42
Deferred revenue		(22	)			(27	)
Other assets and liabilities		(4	)			28
Net cash provided by operating activities		660				674
Cash flows from investing activities:
Capital maintenance expenditures		(57	)			(53	)
Capital project expenditures		(119	)			(172	)
Acquisition of gaming rights, net of cash acquired		—				(185	)
Other		(2	)			(11	)
Net cash used in investing activities		(178	)			(421	)
Cash flows from financing activities:
Proceeds from borrowings under long-term debt obligations		1,266				948
Repayments of borrowings under long-term debt obligations		(1,673	)			(754	)
Payment of dividends		(31	)			(30	)
Acquisition of noncontrolling interest		(31	)			—
Repurchase of common stock		(44	)			(396	)
Taxes paid related to net share settlement of stock awards		(3	)			(4	)
Debt issuance costs		(7	)			—
Change in bank overdraft		8				(2	)
Other		3				1
Net cash used in financing activities		(512	)			(237	)
Net (decrease) increase in cash, cash equivalents and restricted cash		(30	)			16
Cash, cash equivalents and restricted cash, beginning of period		289				252
Cash, cash equivalents and restricted cash, end of period	$	259			$	268

CHURCHILL DOWNS INCORPORATED SUPPLEMENTAL INFORMATION (Unaudited)
	Three Months Ended September 30,								Nine Months Ended September 30,
(in millions, except per common share data)		2026				2025				2026				2025
GAAP net income attributable to CDI	$	80			$	38			$	404			$	332
Adjustments, continuing operations:
Transaction, pre-opening, and other expense		6				7				15				20
Other charges and recoveries, net		2				—				(3	)			(1	)
Asset impairments, net		—				46				—				48
Income tax impact on net income adjustments(a)		(2	)			(14	)			(3	)			(17	)
Total adjustments		6				39				9				50
Adjusted net income attributable to CDI	$	86			$	77			$	413			$	382
Adjusted diluted EPS	$	1.23			$	1.09			$	5.89			$	5.26
Weighted average shares outstanding – Diluted		70				71				70				73
(a) The income tax impact for each adjustment is derived by applying the effective tax rate, including current and deferred income tax expense, based upon the jurisdiction and the nature of the adjustment.

	Three Months Ended September 30,						Nine Months Ended September 30,
(in millions)	2026			2025			2026			2025
Total Wagering
TwinSpires Horse Racing(a)	$	485		$	472		$	1,494		$	1,465
(a) TwinSpires Horse Racing wagering does not include wagering generated by Velocity and national affiliates.

CHURCHILL DOWNS INCORPORATED SUPPLEMENTAL INFORMATION (Unaudited)
	Three Months Ended September 30,								Nine Months Ended September 30,
(in millions)		2026				2025				2026				2025
Net revenue from external customers:
Live and Historical Racing:
Churchill Downs Racetrack	$	12			$	11			$	262			$	243
Louisville		54				54				168				163
Northern Kentucky		29				26				94				84
Southwestern Kentucky		48				42				141				126
Western Kentucky		23				22				60				50
Virginia		139				140				410				406
New Hampshire		3				5				13				11
Total Live and Historical Racing	$	308			$	300			$	1,148			$	1,083
Wagering Services and Solutions:	$	116			$	118			$	392			$	383
Gaming:
Florida	$	21			$	23			$	69			$	74
Iowa		23				24				71				71
Indiana		34				33				102				97
Louisiana		27				26				92				103
Maine		31				29				82				81
Maryland		32				31				81				77
Mississippi		23				22				71				71
New York		51				48				148				139
Pennsylvania		30				29				83				81
Total Gaming	$	272			$	265			$	799			$	794
All Other		—				—				—				—
Net revenue from external customers	$	696			$	683			$	2,339			$	2,260
Intercompany net revenues:
Live and Historical Racing	$	7			$	5			$	43			$	40
Wagering Services and Solutions		10				9				30				28
Gaming		1				1				6				5
All Other		2				2				6				6
Eliminations		(20	)			(17	)			(85	)			(79	)
Intercompany net revenue	$	—			$	—			$	—			$	—

CHURCHILL DOWNS INCORPORATED SUPPLEMENTAL INFORMATION (Unaudited)
	Three Months Ended September 30, 2026
(in millions)	Live and Historical Racing			Wagering Services and Solutions			Gaming			Total Segments			All Other			Total
Net revenue from external customers
Pari-mutuel:
Live and simulcast racing	$	16		$	87		$	5		$	108		$	—		$	108
Historical racing(a)		258			—			—			258			—			258
Racing event-related services		4			—			—			4			—			4
Gaming(a)		3			3			237			243			—			243
Other(a)		27			26			30			83			—			83
Total	$	308		$	116		$	272		$	696		$	—		$	696

	Three Months Ended September 30, 2025
(in millions)	Live and Historical Racing			Wagering Services and Solutions			Gaming			Total Segments			All Other			Total
Net revenue from external customers
Pari-mutuel:
Live and simulcast racing	$	16		$	87		$	5		$	108		$	—		$	108
Historical racing(a)		252			—			—			252			—			252
Racing event-related services		4			—			—			4			—			4
Gaming(a)		5			4			230			239			—			239
Other(a)		23			27			30			80			—			80
Total	$	300		$	118		$	265		$	683		$	—		$	683
(a) Food and beverage, hotel, and other services furnished to customers for free as an inducement to wager or through the redemption of our customers’ loyalty points are recorded at the estimated standalone selling prices in other revenue with a corresponding offset recorded as a reduction in historical racing pari-mutuel revenue for HRMs or gaming revenue for our casino properties. These amounts were $16 million for the three months ended September 30, 2026 and $15 million for the three months ended September 30, 2025.

	Nine Months Ended September 30, 2026
(in millions)	Live and Historical Racing			Wagering Services and Solutions			Gaming			Total Segments			All Other			Total
Net revenue from external customers
Pari-mutuel:
Live and simulcast racing	$	80		$	301		$	19		$	400		$	—		$	400
Historical racing(a)		780			—			—			780			—			780
Racing event-related services		197			—			1			198			—			198
Gaming(a)		10			13			687			710			—			710
Other(a)		81			78			92			251			—			251
Total	$	1,148		$	392		$	799		$	2,339		$	—		$	2,339

	Nine Months Ended September 30, 2025
(in millions)	Live and Historical Racing			Wagering Services and Solutions			Gaming			Total Segments			All Other			Total
Net revenue from external customers
Pari-mutuel:
Live and simulcast racing	$	81		$	292		$	20		$	393		$	—		$	393
Historical racing(a)		741			—			14			755			—			755
Racing event-related services		178			—			1			179			—			179
Gaming(a)		11			12			669			692			—			692
Other(a)		72			79			90			241			—			241
Total	$	1,083		$	383		$	794		$	2,260		$	—		$	2,260
(a) Food and beverage, hotel, and other services furnished to customers for free as an inducement to wager or through the redemption of our customers’ loyalty points are recorded at the estimated standalone selling prices in other revenue with a corresponding offset recorded as a reduction in historical racing pari-mutuel revenue for HRMs or gaming revenue for our casino properties. These amounts were $48 million for the nine months ended September 30, 2026 and $45 million for the nine months ended September 30, 2025.

CHURCHILL DOWNS INCORPORATED SUPPLEMENTAL INFORMATION (Unaudited)
Adjusted EBITDA by segment is comprised of the following:
	Three Months Ended September 30, 2026
(in millions)	Live and Historical Racing				Wagering Services and Solutions				Gaming				Total Segments				All Other				Eliminations				Total
Revenue	$	315			$	126			$	273			$	714			$	2			$	(20	)		$	696
Pari-mutuel taxes and purses		(87	)			(6	)			(6	)			(99	)			—				—				(99	)
Gaming taxes		(1	)			—				(84	)			(85	)			—				—				(85	)
Marketing and advertising		(12	)			—				(9	)			(21	)			—				—				(21	)
Salaries and benefits		(38	)			(9	)			(43	)			(90	)			—				—				(90	)
Content expense		(1	)			(47	)			(2	)			(50	)			—				7				(43	)
Selling, general and administrative expense		(11	)			(3	)			(11	)			(25	)			(22	)			—				(47	)
Maintenance, insurance and utilities		(13	)			(3	)			(10	)			(26	)			(2	)			3				(25	)
Gaming equipment rental and technology costs		(15	)			(1	)			(5	)			(21	)			—				10				(11	)
Food and beverage costs		(4	)			—				(4	)			(8	)			—				—				(8	)
Other operating expense(a)		(23	)			(9	)			(18	)			(50	)			(1	)			—				(51	)
Equity in income of unconsolidated affiliates		—				—				47				47				—				—				47
Other income		1				—				—				1				—				—				1
Adjusted EBITDA	$	111			$	48			$	128			$	287			$	(23	)		$	—			$	264

	Three Months Ended September 30, 2025
(in millions)	Live and Historical Racing				Wagering Services and Solutions				Gaming				Total Segments				All Other				Eliminations				Total
Revenue	$	305			$	127			$	266			$	698			$	2			$	(17	)		$	683
Pari-mutuel taxes and purses		(80	)			(6	)			(7	)			(93	)			—				—				(93	)
Gaming taxes		(2	)			(1	)			(82	)			(85	)			—				—				(85	)
Marketing and advertising		(13	)			(1	)			(9	)			(23	)			—				—				(23	)
Salaries and benefits		(37	)			(9	)			(41	)			(87	)			—				—				(87	)
Content expense		(2	)			(49	)			(3	)			(54	)			—				7				(47	)
Selling, general and administrative expense		(11	)			(3	)			(10	)			(24	)			(22	)			1				(45	)
Maintenance, insurance and utilities		(11	)			(1	)			(11	)			(23	)			(3	)			2				(24	)
Gaming equipment rental and technology costs		(13	)			—				(4	)			(17	)			—				7				(10	)
Food and beverage costs		(3	)			—				(4	)			(7	)			—				—				(7	)
Other operating expense(a)		(21	)			(11	)			(16	)			(48	)			—				—				(48	)
Equity in income of unconsolidated affiliates		—				—				44				44				—				—				44
Other income		4				—				—				4				—				—				4
Adjusted EBITDA	$	116			$	46			$	123			$	285			$	(23	)		$	—			$	262
(a) Other operating expense primarily includes supplies, regulatory licenses and fees, property taxes, and third-party service fees and costs.

	Nine Months Ended September 30, 2026
(in millions)	Live and Historical Racing				Wagering Services and Solutions				Gaming				Total Segments				All Other				Eliminations				Total
Revenue	$	1,191			$	422			$	805			$	2,418			$	6			$	(85	)		$	2,339
Pari-mutuel taxes and purses		(282	)			(18	)			(24	)			(324	)			—				—				(324	)
Gaming taxes		(5	)			(1	)			(240	)			(246	)			—				—				(246	)
Marketing and advertising		(40	)			(8	)			(25	)			(73	)			—				—				(73	)
Salaries and benefits		(112	)			(26	)			(127	)			(265	)			—				—				(265	)
Content expense		(3	)			(168	)			(5	)			(176	)			—				51				(125	)
Selling, general and administrative expense		(36	)			(11	)			(35	)			(82	)			(68	)			—				(150	)
Maintenance, insurance and utilities		(38	)			(8	)			(29	)			(75	)			(9	)			7				(77	)
Gaming equipment rental and technology costs		(42	)			(4	)			(14	)			(60	)			—				27				(33	)
Food and beverage costs		(12	)			—				(13	)			(25	)			—				—				(25	)
Other operating expense(a)		(80	)			(33	)			(53	)			(166	)			(2	)			—				(168	)
Equity in income of unconsolidated affiliates		—				—				143				143				—				—				143
Other income		1				—				1				2				—				—				2
Adjusted EBITDA	$	542			$	145			$	384			$	1,071			$	(73	)		$	—			$	998

	Nine Months Ended September 30, 2025
(in millions)	Live and Historical Racing				Wagering Services and Solutions				Gaming				Total Segments				All Other				Eliminations				Total
Revenue	$	1,123			$	411			$	799			$	2,333			$	6			$	(79	)		$	2,260
Pari-mutuel taxes and purses		(268	)			(18	)			(29	)			(315	)			—				—				(315	)
Gaming taxes		(5	)			(2	)			(234	)			(241	)			—				—				(241	)
Marketing and advertising		(43	)			(8	)			(26	)			(77	)			—				—				(77	)
Salaries and benefits		(107	)			(26	)			(128	)			(261	)			—				—				(261	)
Content expense		(5	)			(169	)			(7	)			(181	)			—				49				(132	)
Selling, general and administrative expense		(32	)			(13	)			(32	)			(77	)			(65	)			1				(141	)
Maintenance, insurance and utilities		(33	)			(3	)			(30	)			(66	)			(7	)			6				(67	)
Gaming equipment rental and technology costs		(37	)			(2	)			(13	)			(52	)			—				23				(29	)
Food and beverage costs		(11	)			—				(12	)			(23	)			—				—				(23	)
Other operating expense(a)		(71	)			(35	)			(49	)			(155	)			—				—				(155	)
Equity in income of unconsolidated affiliates		—				—				134				134				—				—				134
Other income		4				—				1				5				—				—				5
Adjusted EBITDA	$	515			$	135			$	374			$	1,024			$	(66	)		$	—			$	958
(a) Other operating expense primarily includes supplies, regulatory licenses and fees, property taxes, and third-party service fees and costs.

CHURCHILL DOWNS INCORPORATED SUPPLEMENTAL INFORMATION (Unaudited)
	Three Months Ended September 30,								Nine Months Ended September 30,
(in millions)		2026				2025				2026				2025
Reconciliation of Net Income to Adjusted EBITDA:
Net income attributable to Churchill Downs Incorporated	$	80			$	38			$	404			$	332
Net income attributable to noncontrolling interests		—				1				1				2
Net income		80				39				405				334
Adjustments:
Depreciation and amortization		61				57				176				174
Interest expense		69				75				211				222
Income tax provision		31				22				147				115
Stock-based compensation expense		6				7				19				18
Pre-opening expense		2				3				7				9
Other expenses, net		—				3				2				7
Asset impairments, net		—				46				—				48
Transaction expense, net		4				1				6				3
Other income, expense:
Interest, depreciation and amortization expense related to equity investments		9				9				28				29
Other charges and recoveries, net		2				—				(3	)			(1	)
Total adjustments		184				223				593				624
Adjusted EBITDA	$	264			$	262			$	998			$	958
Adjusted EBITDA by segment:
Live and Historical Racing	$	111			$	116			$	542			$	515
Wagering Services and Solutions		48				46				145				135
Gaming		128				123				384				374
Total segment Adjusted EBITDA		287				285				1,071				1,024
All Other		(23	)			(23	)			(73	)			(66	)
Total Adjusted EBITDA	$	264			$	262			$	998			$	958

CHURCHILL DOWNS INCORPORATED SUPPLEMENTAL JOINT VENTURE FINANCIAL STATEMENTS (Unaudited)
Summarized financial information for our equity investments is comprised of the following:
	Summarized Income Statement
	Three Months Ended September 30,								Nine Months Ended September 30,
(in millions)		2026				2025				2026				2025
Net revenue	$	224			$	211			$	668			$	632
Operating and SG&A expense		141				133				420				398
Depreciation and amortization		6				6				18				18
Operating income		77				72				230				216
Interest and other expense, net		(10	)			(10	)			(29	)			(31	)
Net income	$	67			$	62			$	201			$	185

	Summarized Balance Sheet
(in millions)	September 30, 2026				December 31, 2025
Assets
Current assets	$	107			$	109
Property and equipment, net		305				315
Other assets, net		265				265
Total assets	$	677			$	689
Liabilities and Members’ Deficit
Current liabilities	$	107			$	89
Long-term debt		760				803
Members’ deficit		(190	)			(203	)
Total liabilities and members’ deficit	$	677			$	689

CHURCHILL DOWNS INCORPORATED SUPPLEMENTAL INFORMATION (Unaudited)
2026 capital projects for the Company are as follows:
(in millions)	Project	Target Completion	2026 Planned Spend
Live and Historical Racing Segment
Churchill Downs Racetrack	Victory Run	April 2028	$40-45
New Hampshire	Rockingham Grand Casino (HRM Venue)	Mid-2027	$45-50
All Other & Completed Projects
All Other Projects		TBD	$15-20
Completed Projects		Completed	$60-65
		Total:	$160-180

Contact: Sam Ullrich
(502) 638-3906
Sam.Ullrich@kyderby.com

–1L ESCC confirmed ORR of 75% irrespective of PD-L1 status, confirmed ORR of 100% for PD-L1- positive, in evaluable patients-

-2L ESCC durable clinical benefit observed with a clear dose-response irrespective of PD-L1 status and in PD-1 refractory patients-

– Anti-tumor activity demonstrated across five indications and over 120 patients, including HPV-positive head and neck and GI tumors-

– Acceptable and manageable safety profile, with no new safety signals to date supports continued development-

– Company to host a webcast today at 4:30 pm EDT-

REDWOOD CITY, Calif., Oct. 28, 2026 (GLOBE NEWSWIRE) — Coherus Oncology, Inc. (Nasdaq: CHRS) today announced interim clinical data from the TREGCHECK^™ development program evaluating tagmokitug, its investigational cytolytic CCR8 antibody, in combination with toripalimab, with or without chemotherapy. Tagmokitug-based treatment demonstrated encouraging anti-tumor activity across multiple solid tumors, including responses and durable disease stabilization in pretreated and immunotherapy-resistant patients. In evaluable front-line esophageal squamous cell carcinoma (ESCC) patients, tagmokitug in combination with toripalimab and chemotherapy demonstrated a confirmed overall response rate (cORR) of 75% irrespective of PD-L1 status, and a cORR of 100% in PD-L1 positive patients as of October 14, 2026. Subsequent to the data cutoff date, two additional partial responses were confirmed, increasing the cORR to 89% of the evaluable patient dataset.

Activity and duration of response in second-line ESCC patients, as well as an acceptable and manageable safety profile, support the selected dose and expansion of enrollment in both ESCC cohorts.

“The totality of these interim data provides clinical proof of concept for tagmokitug, strengthens our confidence in the selected go-forward dose, and integrated development strategy. We are particularly encouraged by the compelling clinical activity and manageable tolerability observed in ESCC, a disease where significant unmet medical need remains. We look forward to the continued maturation and expansion of these data across both first and second-line ESCC, as we advance the development of tagmokitug for patients with difficult-to-treat cancers,” said Rosh Dias, M.D., Chief Medical Officer, Coherus Oncology.

“These clinical data represent the potential for a meaningful advancement in ESCC, where there is a significant underserved patient population,” said Dan Feng, M.D., Ph.D., Assistant Professor of Medicine, Hematology and Medical Oncology, at the Icahn School of Medicine at Mount Sinai. “Esophageal cancer is a devastating disease, with limited treatment options. I am particularly impressed with the front-line response rate observed with the tagmokitug combination with a PD-1 inhibitor and chemotherapy. I am encouraged by the manageable and acceptable safety profile observed with tagmokitug in combination with toripalimab with and without chemotherapy.”

“This encouraging clinical evidence supports our strategy of targeting CCR8-positive regulatory T cells to overcome immune resistance in cancer, and underscores Coherus Oncology’s scientific leadership in the emerging field of CCR8 Treg depletion,” said Denny Lanfear, Chief Executive Officer of Coherus Oncology. “Importantly, the strength of the emerging ESCC data provides a clear and efficient path for advancing the development of tagmokitug in esophageal cancer across both indications. Toripalimab is already established as a first-line treatment for ESCC in ex-US major markets, including Europe and China. Given the significant burden of this disease globally, particularly in Asia, we believe these results further strengthen the strategic and global development opportunity for tagmokitug.”

Key Interim Findings
The totality of the interim clinical activity, dose-response findings and safety observations support continued development of tagmokitug and expansion of the first-line and second-line ESCC cohorts.

First-Line ESCC: Phase 1b TREGCHECK 102 Cohort C

Study design. Patients with previously untreated advanced or metastatic ESCC received tagmokitug 700 mg plus toripalimab, 5-fluorouracil and cisplatin. The primary endpoint is safety; secondary endpoints include ORR, duration of response, clinical benefit rate and progression-free survival. As of October 14, 2026, 10 patients were safety evaluable and 8 were efficacy evaluable, and enrollment is ongoing. Of the evaluable patient data set:

Efficacy Measure	Interim Result		Key Considerations
cORR all comers	75% (6/8)		No PD-1 inhibitors approved in PD-L1-negative ESCC in the US
Post-data-cutoff cORR	89% (8/9)		Includes confirmation of a prior unconfirmed partial response (uPR) and one newly evaluable patient with a confirmed partial response (cPR)
Confirmed ORR in PD-L1 positive ESCC	100%		US SoC Benchmark (PD-1 + chemo) cORR is 44%-59% for PD-L1 positive ESCC
Confirmed complete response	1 patient		Confirmed at the data cutoff

Figure 1. First-line ESCC waterfall plot from TREGCHECK 102 Cohort C. Data as of October 14, 2026

Second-Line ESCC: Phase 1b TREGCHECK 102 Cohort B

Study design. Patients with recurrent or metastatic ESCC who failed first-line systemic chemotherapy with or without a PD-1 inhibitor were randomized 1:1 to tagmokitug 300 mg or 700 mg plus toripalimab. As of October 14, 2026, 17 patients were safety evaluable and 8 (2 in 300 mg and 6 in 700 mg) were efficacy evaluable and enrollment is ongoing. Of the evaluable patient data set:

Efficacy Measure	Interim Result	Key Considerations
Clinical Benefit Rate (CBR) in 700 mg tagmokitug dose arm	33.3% (2/6)	Consistent with immuno-oncology-driven durable stable disease (SD)
cORR in 700mg tagmokitug dose arm	16.7% (1/6)	Confirmation of 1 PR and 1 uPR
Median Progression-Free Survival (mPFS) in 700mg tagmokitug dose arm	5.5 months	US SoC Benchmark (chemo) mPFS is ~3.4 months

Figure 2. Second-line ESCC swimmer plot by randomized tagmokitug dose. Data as of October 14, 2026

Interim Results in Other Indications

Cohort	Population	Interim findings
2L HNSCC Two tagmokitug doses (700 mg and 300 mg) plus toripalimab	43 treated; 23 HPV-positive efficacy evaluable	In HPV-positive disease across doses, 13.0% cORR (3/23) and 26.1% CBR (6/23); Additional potential enrichment strategy based on Tumor Immune Regulatory Index (TIRI), a tumor-derived CCR8- containing biomarker score, under evaluation; HPV+ – TIRI+ patients demonstrated a 45% CBR (6/11).
2L Upper GI: GC/GEJ/EAC Two tagmokitug doses (700 mg and 300 mg) plus toripalimab	40 treated; 33 efficacy evaluable	At 700 mg, 4 confirmed PRs among 17 evaluable patient data set (23.5% cORR), including 2 PRs in EAC with follow- up continuing; Clear dose-response; Demonstrated PD-1 resistance rescue at 700 mg and tumor shrinkage in PD-1-refractory and naive patients; Durable clinical benefit with a chemo-free regimen.
4L+ NLM MSS CRC 700 mg tagmokitug dose plus toripalimab	20 treated; 17 efficacy evaluable	5.9% cORR and 11.8% CBR, with antitumor activity and molecular response (ctDNA) observed in a highly refractory, IO-nonresponsive population with follow-up continuing.

Safety and Tolerability
Tagmokitug demonstrated a manageable safety profile across the TREGCHECK^™ clinical program. In 33 patients with monotherapy, no dose-limiting toxicities were observed through the 1200 mg every-three-week dose level, and no Grade 5 treatment-related adverse events were reported.

In more than 120 patients treated with tagmokitug in combination with toripalimab, no new safety signals beyond those associated with PD-1/immune checkpoint inhibitor therapy were identified. Most adverse events were Grade 1 or 2 and resolved, and safety was comparable across tagmokitug dose levels. Among 120 patients treated with tagmokitug plus toripalimab, the overall rate of immune-related adverse events (irAEs) was 40% (for all grades), with 20% experiencing Grade 3-5 irAEs. The most commonly reported TRAEs were infusion-related reactions (25.0%), fatigue (19.2%) and rash (15.8%). No Grade 5 treatment-related adverse events were reported.

In the first-line ESCC cohort, 10 patients treated with tagmokitug in combination with toripalimab and chemotherapy demonstrated a manageable safety profile, with no new safety signals or Grade 5 treatment-emergent adverse events observed. Most adverse events were attributed to chemotherapy and the treatment discontinuation rate is similar to the approved regimens for PD-1 inhibitors with chemotherapy.

Tagmokitug is an investigational product candidate and has not been approved by the U.S. Food and Drug Administration or any other regulatory authority. Its safety and efficacy have not been established.

Toripalimab is an investigational product candidate in these indications in the United States.

Clinical Development and Next Steps
Based on the interim findings, Coherus plans to expand enrollment in first-line and second-line ESCC and continue to evaluate the durability of response, progression-free survival and biomarker findings across indications as the data mature.

Coherus is also advancing tagmokitug in combinations beyond PD-1 inhibition, including a planned study evaluating the safety of tagmokitug with a T-cell engager in mCRPC.

Webcast Information
When: Wednesday, October 28, 2026, from 4:30 p.m. to 6:00 p.m. Eastern Daylight Time.
To access the webcast, please pre-register through the following link to receive dial-in information and a personal PIN to access the live call: https://register-conf.media-server.com/register/BI40122fadb7e849969b28a667a784d035.

Webcast: https://edge.media-server.com/mmc/p/wygfpdac.

A live and archived webcast will be available on the “Investors” section of the Coherus website and accompanying materials will be available after the webcast at https://investors.coherus.com/events-presentations.
Please log in approximately 15 minutes before the start of the webcast to ensure a timely connection.

Disclosure Information
Coherus uses the https://investors.coherus.com website as a means of disclosing material non-public information and for complying with its disclosure obligations under Regulation FD. 

About Tagmokitug
Tagmokitug is an investigational monoclonal antibody that selectively targets CCR8, a receptor highly enriched on regulatory T cells within the tumor microenvironment. Tagmokitug is currently being evaluated in Phase 1b/2a clinical trials (TREGCHECK^™ 101: NCT05635643; TREGCHECK^™ 102: NCT06657144) in patients with solid tumors in combination with the PD-1 inhibitor toripalimab and chemotherapy. It is part of Coherus Oncology’s next-generation immunotherapy pipeline being evaluated across multiple solid tumor settings.

About Coherus Oncology

Coherus Oncology is a fully integrated commercial-stage innovative oncology company with an approved next-generation programmed death receptor-1 (“PD-1”) inhibitor, LOQTORZI^® (toripalimab-tpzi), and a pipeline that includes two mid-stage clinical candidates targeting liver, prostate, head and neck, colorectal and other cancers. The Company’s strategy is to grow sales of LOQTORZI in R/M Nasopharyngeal Carcinoma and advance the development of its two pipeline candidates in combination with LOQTORZI and through strategic partnerships.

Coherus’ innovative oncology pipeline includes multiple antibody immunotherapy candidates focused on enhancing the innate and adaptive immune responses to enable a robust antitumor response and improve outcomes for patients with cancer. Tagmokitug is a highly selective cytolytic anti-CCR8 antibody currently in Phase 1b/2a studies in patients with advanced solid tumors; including head and neck squamous cell carcinoma, colorectal cancer, gastric, gastroesophageal junction, esophageal adenocarcinoma and esophageal squamous cell carcinoma. Casdozokitug is a novel IL-27 antagonistic antibody currently being evaluated in a Phase 2 study in patients with first-line hepatocellular carcinoma.

LOQTORZI^® is a registered trademark of Coherus Oncology, Inc.
©2026 Coherus Oncology, Inc. All rights reserved.

Forward-Looking Statements

Except for the historical information contained herein, the matters set forth in this presentation and any accompanying commentary from the management of Coherus Oncology, Inc. (“Coherus”) are forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements contained in this presentation may be identified by the use of words such as “anticipate,” “may,” “will,” “should,” “expect,” “could,” “intend,” “project,” “target,” “estimate,” “predict,” or “potential” or the negative of these terms or other similar expressions. These statements include, but are not limited to statements about the development plan for tagmokitug; ability of any of Coherus’s pipeline product candidates to be first-to-market, first-to-data or first in-class or best in class; the initiation, timing and progress of preclinical and clinical studies; future data readouts or catalysts based on the clinical trials of Coherus; market size, market value, addressable market or opportunity and the number of patients or incidence for particular indications; standard of care expectations; future collaborations; the degree of unmet need for particular indications; and the assumptions underlying or relating to such statements.

Such forward-looking statements involve substantial risks and uncertainties that could cause Coherus’s actual results, performance or achievements to differ significantly from any future results, performance or achievements expressed or implied by the forward-looking statements. Such risks and uncertainties include, among other things, the risks and uncertainties inherent with clinical research and commercialization; the risks and uncertainties of the clinical development and regulatory approval process; risks related to Coherus’s ability to increase sales of LOQTORZI or expand LOQTORZI into other indications; the risk that Coherus is unable to complete commercial transactions in a timely manner or at all; risks and uncertainties in executing collaboration agreements and other joint ventures, including particular risks of working with international partners; the risk of Coherus’s dependence on an ability to raise funds, which may not be available on acceptable terms or at all; the risks and uncertainties of the degree of market acceptance for Coherus’s product and product candidates by physicians, healthcare providers and patients; and the risks and uncertainties of litigation. For a further discussion of these and other factors that could cause Coherus’s future results to differ materially from any forward-looking statements see the section entitled “Risk Factors” in Coherus’s Quarterly Report on Form 10-Q for the quarter ended June 30, 2026, filed with the Securities and Exchange Commission (“SEC”) on August 5, 2026, as updated by Coherus’s subsequent reports filed with the SEC. Any forward-looking statements speak only as of the date of this presentation and are made based on the current plans, estimates, good faith beliefs and judgments of Coherus management, and the reader is cautioned not to rely on any forward-looking statements made by Coherus. Unless required by law, Coherus is not under any duty and undertakes no obligation to publicly update or revise any forward-looking statement to reflect changes in underlying assumptions or factors, of new information, data or methods, future events or other changes. Coherus’s past performance should not be considered to be a guarantee of future results.

Coherus Oncology Contact Information:

For Investors:
Carrie Graham
Vice President, Investor Relations & Advocacy
IR@coherus.com

Photos accompanying this announcement are available at
https://www.globenewswire.com/NewsRoom/AttachmentNg/a74251b2-e772-4b97-a5d7-f8d8299ee475
https://www.globenewswire.com/NewsRoom/AttachmentNg/643f09d5-29ea-44c3-b9ce-c78196e9209d

LATHAM, N.Y., Oct. 28, 2026 (GLOBE NEWSWIRE) — Latham Group, Inc. (NASDAQ:SWIM), the largest designer, manufacturer, and marketer of in-ground residential swimming pools in North America, Australia, and New Zealand, today announced that management will attend the following investor conferences:

• On November 10, 2026, Oliver Gloe, Chief Financial Officer, and Joshua Rickaby, Fiberglass Sales – Sand States, will participate in the 2026 Baird Global Industrials Conference. Management will participate in a fireside chat at 8:30am CT and host investor meetings throughout the day. This event will take place at The Ritz-Carlton, Chicago in Chicago, IL.
• On December 4, 2026, Oliver Gloe, Chief Financial Officer, will participate in the Wolfe Research December Small Group Conference. This will be a virtual event.

About Latham Group, Inc.
Latham Group, Inc., headquartered in Latham, NY, is the largest designer, manufacturer, and marketer of in-ground residential swimming pools in North America, Australia, and New Zealand. Latham has a coast-to-coast operations platform consisting of approximately 1,900 employees on average across around 40 locations.

Contact:
Lynn Morgen
Casey Kotary
ADVISIRY Partners
lathamir@advisiry.com
212-750-5800

NEW YORK, Oct. 28, 2026 (GLOBE NEWSWIRE) — Adamas Trust, Inc. (Nasdaq: ADAM) (“Adamas,” the “Company,” “we,” “our” or “us”) today reported results for the three and nine months ended September 30, 2026.

Financial Highlights for Third Quarter 2026:

• GAAP basic loss per share of $1.89;
• Earnings available for distribution (or “EAD”) ⁽¹⁾ per common share of $0.30, up 25% year-over-year, reflecting continued portfolio expansion;
• Quarterly economic return ⁽²⁾ of (19.00)%; Quarterly economic return on adjusted book value ⁽¹⁾⁽²⁾ of (16.92)%;
• Book value per share of $7.93, down 21.9% quarter-over-quarter;
• Adjusted book value ⁽¹⁾ per share of $8.88, down 19.6% quarter-over-quarter;
• Total net interest income of $48.8 million, down 2.8% quarter-over-quarter; Total adjusted net interest income ⁽¹⁾ of $51.5 million, up 2.4% quarter-over-quarter;
• Declared third quarter common stock dividend of $0.30 per share, representing a 15.4% annualized yield ⁽³⁾;
• Cumulative stockholder return ⁽⁴⁾ of (14.2)% for the quarter and 26.6% over the last twelve months; and
• Company Economic Recourse Leverage Ratio ⁽¹⁾ of 4.8x; Portfolio Economic Recourse Leverage Ratio ⁽¹⁾ of 4.4x.

Management Update To Our Stockholders

Jason Serrano, Chief Executive Officer, commented: “The third quarter presented a challenging market environment, with the rise in interest rates and volatility resulting in a decline in adjusted book value primarily driven by lower valuations for our Agency mortgage securities. As market volatility intensified in the quarter, we proactively managed spread and convexity risks in our Agency securities portfolio through short TBA positions, lowering net Agency exposure. Since quarter-end, we have significantly reduced these TBA short positions reflecting our view of receding Agency spread tail risks.

Our underlying business fundamentals remain strong, supported by solid credit performance, substantial liquidity, and earnings available for distribution that fully covered our recently increased dividend. Importantly, the repricing of mortgage assets has created some of the most attractive investment opportunities we have seen in several quarters. We entered the fourth quarter with financial flexibility and continued focus on disciplined portfolio management to provide long-term shareholder value.”

_____________________________

⁽¹⁾ Represents a non-GAAP financial measure. A reconciliation of the Company’s non-GAAP financial measures to their most directly comparable GAAP measure is included below in “Non-GAAP Financial Measures.”
⁽²⁾ Economic return on book value and economic return on adjusted book value are based on the periodic change in GAAP book value and adjusted book value, respectively, per common share plus dividends declared per common share, if any, during the period.
⁽³⁾ Annualized yield is calculated using the current quarter dividend declared on common stock (annualized) and the closing share price of the Company’s common stock on September 30, 2026.
⁽⁴⁾ Cumulative stockholder return includes common stock price appreciation and common stock dividend reinvestment. Dividends assumed to be reinvested at the closing price on the ex-dividend date.

Business Highlights:

Investing & Origination Activity

• Acquired $1.6 billion of new single-family residential investments during the quarter, including $1.2 billion of Agency investments and $390.1 million of business purpose loans ⁽⁵⁾
• BPL-Rental portfolio grew to $2.6 billion in UPB, supported by strong credit fundamentals, including average FICO of 751, average LTV of 70% and average DSCR of 1.35x
• Constructive originated $405.8 million of business purpose loans in the quarter, surpassing $7.4 billion in cumulative originations since inception in 2017 ⁽⁶⁾

Financing & Capital

• Issued $340.6 million BPL-Rental securitization with a 5.73% effective cost ⁽⁷⁾ and net financing spread of 136 bps ⁽⁸⁾
• Issued $115.0 million re-securitization of non-Agency RMBS with a 6.88% effective cost ⁽⁷⁾ and net financing spread of 250 bps ⁽⁸⁾
• Issued $90.0 million of 9.600% Senior Notes due 2031 resulting in net proceeds of approximately $86.6 million
• Redeemed a non-Agency RMBS re-securitization with an outstanding principal balance at the time of redemption of approximately $57.6 million
• Increased warehouse capacity to $3.8 billion, up $150.0 million in the quarter

Stockholder Value

• Raised common stock dividend to $0.30, an increase of 11.1% quarter-over-quarter
• $1.6 billion in cumulative common stock dividends declared since June 2004
• Raised net proceeds of $4.3 million under the common stock at-the-market program at an average price of $10.18 per share, accretive to book value per share

Subsequent Events

• Issued $313.1 million BPL-Rental securitization with a 6.40% effective cost ⁽⁷⁾ and net financing spread of 159 bps ⁽⁸⁾
• TBA short positions that were added in the latter half of third quarter to mitigate rate and spread exposure during September’s volatility were reduced by 76%, with the remaining position expected to be managed based upon market conditions

_____________________________

⁽⁵⁾ Acquired business purpose loans include $169.9 million of loans originated by Constructive and transferred at fair value to the Company’s investment portfolio.
⁽⁶⁾ Origination amounts represent total loan commitments.
⁽⁷⁾ Effective cost represents the weighted average yield at issuance of all tranches sold in the securitization, weighted by the issuance proceeds of each tranche, and reflecting the modeling assumptions set forth in the related offering documents.
⁽⁸⁾ Net financing spread represents the weighted average spread across all issued tranches, where each tranche’s spread is measured over the U.S. Treasury curve at the point interpolated from its weighted average life.

Capital Allocation

The following table sets forth our allocated capital at September 30, 2026 (dollar amounts in thousands):

	Investment Portfolio (1)				Constructive				Corporate/Other				Total
Investment securities available for sale	$	7,343,161			$	—			$	—			$	7,343,161
TBAs, net (2)		(1,843,625	)			—				—				(1,843,625	)
Residential loans		4,731,705				57,234				—				4,788,939
Consolidated SLST CDOs		(915,698	)			—				—				(915,698	)
Residential loans held for sale		—				150,969				—				150,969
Multi-family loans		36,868				—				—				36,868
Equity investments		17,926				—				—				17,926
Equity investments in consolidated multi-family properties (3)		107,003				—				—				107,003
Single-family rental properties		101,347				—				—				101,347
Mortgage servicing rights		18,970				—				—				18,970
Total investments		9,597,657				208,203				—				9,805,860
Liabilities:
Repurchase agreements and warehouse facilities		(7,272,601	)			(187,518	)			—				(7,460,119	)
Net TBA cost basis (2)		1,839,293				—				—				1,839,293
Collateralized debt obligations
Residential loan securitization CDOs		(2,767,534	)			—				—				(2,767,534	)
Non-Agency RMBS re-securitization		(108,719	)			—				—				(108,719	)
Senior unsecured notes		—				—				(434,607	)			(434,607	)
Subordinated debentures		—				—				(45,000	)			(45,000	)
Cash, cash equivalents and restricted cash (4)		109,915				17,138				260,163				387,216
Goodwill		—				22,396				—				22,396
Cumulative adjustment of redeemable non-controlling interest to estimated redemption value		(32,448	)			—				—				(32,448	)
Other		145,134				10,706				(86,027	)			69,813
Net Company capital allocated	$	1,510,697			$	70,925			$	(305,471	)		$	1,276,151
Company Economic Recourse Leverage Ratio (5)													4.8x
Portfolio Economic Recourse Leverage Ratio (5)													4.4x

(1)		The Company, through its ownership of certain securities, has determined it is the primary beneficiary of Consolidated SLST and has consolidated the assets and liabilities of Consolidated SLST in the Company’s condensed consolidated financial statements. Consolidated SLST is primarily presented on our condensed consolidated balance sheets as residential loans, at fair value and collateralized debt obligations, at fair value. Our investment in Consolidated SLST as of September 30, 2026 was limited to the RMBS comprised of first loss subordinated securities and certain IOs issued by the respective securitizations with an aggregate net carrying value of $122.1 million.
(2)		Relates to the Company’s net TBA short position. The implied net fair value of the Agency RMBS underlying the TBA contracts is included in total investments as TBAs, net, and the cost basis of the outstanding net TBA positions is included in liabilities as Net TBA cost basis. The difference between these two amounts, a net liability of $4.3 million, represents the net carrying value of the TBA contracts. TBAs are accounted for as derivative instruments and are reported on the Company’s condensed consolidated balance sheets as $9.7 million in other assets and $14.0 million in other liabilities.
(3)		Represents the Company’s equity investments in consolidated multi-family properties. See “Reconciliation of Financial Information” section below for a reconciliation of equity investments in consolidated multi-family properties to the Company’s condensed consolidated financial statements.
(4)		Excludes cash in the amount of $3.7 million held in the Company’s equity investments in consolidated multi-family properties. Restricted cash of $128.6 million is included in the Company’s accompanying condensed consolidated balance sheets in other assets.
(5)		Represents a non-GAAP financial measure. See “Reconciliation of Financial Information” section below for a reconciliation of Company Economic Recourse Leverage Ratio and Portfolio Economic Recourse Leverage Ratio to the Company’s condensed consolidated financial statements.

Net Interest Spread

The following table sets forth certain information about our interest earning assets by category and their related adjusted interest income, adjusted interest expense, adjusted net interest income (loss), yield on average interest earning assets, average financing cost and net interest spread for the three months ended September 30, 2026 (dollar amounts in thousands):

Three Months Ended September 30, 2026

	Agency				Single-Family Credit				Multi-Family Credit				Corporate/Other				Total
Adjusted Interest Income (1) (2)	$	107,155			$	69,115			$	1,175			$	5,382			$	182,827
Adjusted Interest Expense (1)		(67,850	)			(47,811	)			—				(15,673	)			(131,334	)
Adjusted Net Interest Income (Loss) (1)	$	39,305			$	21,304			$	1,175			$	(10,291	)		$	51,493
Average Interest Earning Assets (3)	$	7,657,893			$	4,127,721			$	40,783			$	470,270			$	12,296,667
Average Interest Bearing Liabilities (4)	$	6,868,897			$	3,682,207			$	—			$	900,005			$	11,451,109
Yield on Average Interest Earning Assets (1) (5)		5.60	%			6.70	%			11.52	%			4.58	%			5.95	%
Average Financing Cost (1) (6)	(3.92)%				(5.15)%					—			(6.91)%				(4.55)%
Net Interest Spread (1) (7)		1.68	%			1.55	%			11.52	%		(2.33)%					1.40	%

(1)		Represents a non-GAAP financial measure. A reconciliation of the Company’s non-GAAP financial measures to their most directly comparable GAAP measure is included below in “Reconciliation of Financial Information.”
(2)		Includes interest income earned on cash accounts held by the Company.
(3)		Average Interest Earning Assets for the period include residential loans, residential loans held for sale, multi-family loans, investment securities and cost basis of outstanding TBA dollar roll transactions, to the extent applicable, and exclude all Consolidated SLST assets other than those securities owned by the Company. Average Interest Earning Assets is calculated based on the daily average amortized cost for the period.
(4)		Average Interest Bearing Liabilities for the period include repurchase agreements and warehouse facilities, residential loan securitization and non-Agency RMBS re-securitization CDOs, senior unsecured notes, subordinated debentures and cost basis of outstanding TBA dollar roll transactions, to the extent applicable, and exclude Consolidated SLST CDOs and mortgages payable on real estate as the Company does not directly incur interest expense on these liabilities that are consolidated for GAAP purposes. Average Interest Bearing Liabilities is calculated based on the daily average outstanding balance for the period.
(5)		Yield on Average Interest Earning Assets is calculated by dividing our annualized adjusted interest income relating to our portfolio of interest earning assets by our Average Interest Earning Assets for the period.
(6)		Average Financing Cost is calculated by dividing our annualized adjusted interest expense by our Average Interest Bearing Liabilities.
(7)		Net Interest Spread is the difference between our Yield on Average Interest Earning Assets and our Average Financing Cost.

Segment Information

The following table presents summarized financial information by our two reportable segments, investment portfolio and Constructive, for the three and nine months ended September 30, 2026, respectively, which, with the inclusion of unallocated amounts, in total reconciles to the same data for the Company on a consolidated basis (dollar amounts in thousands). Unallocated amounts primarily consist of general and administrative expenses not directly attributable to the investment portfolio or Constructive, interest expense on senior unsecured notes and subordinated debentures and financing transaction costs unrelated to securitizations.

	For the Three Months Ended September 30, 2026												For the Nine Months Ended September 30, 2026
	Investment Portfolio				Constructive (1)				Total Reportable Segments				Investment Portfolio				Constructive (1)				Total Reportable Segments
Total net interest income	$	58,515			$	469			$	58,984			$	174,556			$	1,447			$	176,003
Total net loss from real estate		(2,761	)			—				(2,761	)			(7,651	)			—				(7,651	)
Total other (loss) income		(183,467	)			12,305				(171,162	)			(133,357	)			43,698				(89,659	)
Total general, administrative and operating expenses		14,324				14,670				28,994				43,562				47,043				90,605
Loss from operations before income taxes	$	(142,037	)		$	(1,896	)		$	(143,933	)		$	(10,014	)		$	(1,898	)		$	(11,912	)
Total unallocated amounts										(18,219	)											(10,450	)
Consolidated loss from operations before income taxes									$	(162,152	)										$	(22,362	)

(1)		Includes direct income (loss) from Constructive and certain allocated general and administrative expenses and other income (loss). The following table presents a reconciliation of direct (loss) income from Constructive for the periods presented to the reportable segment amounts:

	For the Three Months Ended September 30, 2026				For the Nine Months Ended September 30, 2026
Interest income	$	2,655			$	9,208
Interest expense		(2,186	)			(7,761	)
Mortgage banking activities, net		10,856				42,394
General and administrative expenses		(8,783	)			(27,889	)
Loan origination costs		(4,198	)			(13,070	)
Direct (loss) income from operations before income tax from Constructive		(1,656	)			2,882
Allocated expenses and other income (loss)		(240	)			(4,780	)
Total Constructive segment loss from operations before income tax	$	(1,896	)		$	(1,898	)

Conference Call

On Thursday, October 29, 2026 at 9:00 a.m., Eastern Time, Adamas Trust’s executive management is scheduled to host a conference call and audio webcast to discuss the Company’s financial results for the three and nine months ended September 30, 2026. To access the conference call, please pre-register using this link. Registrants will receive confirmation with dial-in details. A live audio webcast of the conference call can be accessed, on a listen-only basis, at the Investor Relations section of the Company’s website at www.adamasreit.com or using this link. Please allow extra time, prior to the call, to visit the site and download the necessary software to listen to the Internet broadcast. A webcast replay link of the conference call will be available on the Investor Relations section of the Company’s website approximately two hours after the call and will be available for 12 months.

In connection with the release of these financial results, the Company will also post a supplemental financial presentation that will accompany the conference call on its website at www.adamasreit.com under the “Investors — Events and Presentations” section. Third Quarter 2026 financial and operating data can be viewed in the Company’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2026. A copy of the Form 10-Q will be posted at the Company’s website as soon as reasonably practicable following its filing with the Securities and Exchange Commission.

About Adamas Trust

Adamas Trust, Inc. is an internally managed real estate investment trust (“REIT”) focused on strategically deploying capital across complementary businesses to generate durable earnings and long-term value for stockholders through disciplined portfolio management and an operating platform designed to capture opportunities across real estate and capital markets. For a list of defined terms used from time to time in this press release, see “Defined Terms” below.

Defined Terms

The following defines certain of the commonly used terms that may appear in this press release: “UPB” refers to unpaid principal balance; “LTV” refers to loan-to-value ratio; “DSCR” refers to debt service coverage ratio; “Constructive” refers to Constructive Loans, LLC, the Company’s wholly-owned origination platform; “RMBS” refers to residential mortgage-backed securities backed by adjustable-rate, hybrid adjustable-rate, or fixed-rate residential loans; “Agency RMBS” refers to RMBS representing interests in or obligations backed by pools of residential loans guaranteed by a government sponsored enterprise (“GSE”), such as the Federal National Mortgage Association (“Fannie Mae”) or the Federal Home Loan Mortgage Corporation (“Freddie Mac”), or an agency of the U.S. government, such as the Government National Mortgage Association (“Ginnie Mae”); “TBAs” refers to to-be-announced securities that are forward contracts for the purchase or sale of Agency fixed-rate RMBS at a predetermined price, face amount, issuer, coupon, and stated maturity on an agreed-upon future date; “Agency investments” refer to Agency RMBS and TBAs; “TBA dollar roll transaction” refers to a transaction where two TBA contracts with the same terms but different settlement dates are simultaneously bought and sold; “TBA dollar roll income” refers to the difference in price between TBA contracts in TBA dollar roll transactions; “non-Agency RMBS” refers to RMBS that are not guaranteed by any agency of the U.S. Government or any GSE; “IOs” refers collectively to interest only and inverse interest only mortgage-backed securities that represent the right to the interest component of the cash flow from a pool of mortgage loans; “POs” refers to mortgage-backed securities that represent the right to the principal component of the cash flow from a pool of mortgage loans; “CDO” refers to collateralized debt obligation and includes debt that permanently finances the residential loans held in Consolidated SLST, the Company’s residential loans held in securitization trusts and a non-Agency RMBS re-securitization that we consolidate or consolidated in our financial statements in accordance with GAAP; “Consolidated SLST” refers to Freddie Mac-sponsored residential loan securitizations, comprised of seasoned re-performing and non-performing residential loans, of which we own the first loss subordinated securities and certain IOs, that we consolidate in our financial statements in accordance with GAAP; “Consolidated VIEs” refers to variable interest entities (“VIE”) where the Company is the primary beneficiary, as it has both the power to direct the activities that most significantly impact the economic performance of the VIE and a right to receive benefits or absorb losses of the entity that could be potentially significant to the VIE and that we consolidate in our financial statements in accordance with GAAP; “Consolidated Real Estate VIEs” refers to Consolidated VIEs that own multi-family properties; “business purpose loans” refers to (i) short-term loans that are collateralized by residential properties and are made to investors who intend to rehabilitate and sell the residential property for a profit (or “BPL-Bridge”) or (ii) loans that finance (or refinance) non-owner occupied residential properties that are rented to one or more tenants (or “BPL-Rental”); “Mezzanine Lending” refers to preferred equity investments in multi-family properties; “Cross-collateralized mezzanine lending investment” refers to a cross-collateralized preferred equity and joint venture equity investment in multi-family properties; “Multi-Family Credit” includes Mezzanine Lending; “Single-Family Credit” includes residential loans, residential loans held for sale, non-Agency RMBS and single-family rental properties; and “Corporate/Other” includes, or included, other investment securities and our equity investment in Constructive (prior to July 15, 2025).

Cautionary Statement Regarding Forward-Looking Statements

When used in this press release, in future filings with the Securities and Exchange Commission (the “SEC”) or in other written or oral communications, statements which are not historical in nature, including those containing words such as “will,” “believe,” “expect,” “anticipate,” “estimate,” “plan,” “continue,” “intend,” “could,” “would,” “should,” “may” or similar expressions, are intended to identify “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and, as such, may involve known and unknown risks, uncertainties and assumptions.

Forward-looking statements are based on estimates, projections, beliefs and assumptions of management of the Company at the time of such statements and are not guarantees of future performance. Forward-looking statements involve risks and uncertainties in predicting future results and conditions. Actual results and outcomes could differ materially from those projected in these forward-looking statements due to a variety of factors, including, without limitation: changes in the Company’s business and investment strategy; inflation and changes in interest rates and the fair market value of the Company’s assets, including negative changes resulting in margin calls relating to the financing of the Company’s assets; changes in credit spreads; changes in the long-term credit ratings of the U.S., Fannie Mae, Freddie Mac, and Ginnie Mae; general volatility of the markets in which the Company invests; changes in prepayment rates on the loans the Company owns or that underlie the Company’s investment securities; increased rates of default, delinquency or vacancy and/or decreased recovery rates on or at the Company’s assets; the Company’s ability to identify and acquire targeted assets, including assets in its investment pipeline; the Company’s ability to dispose of assets from time to time on terms favorable to it; changes in relationships with the Company’s financing counterparties and the Company’s ability to borrow to finance its assets and the terms thereof; changes in the Company’s relationships with and/or the performance of its operating partners; the Company’s ability to predict and control costs; changes in laws, regulations or policies affecting the Company’s business; the Company’s ability to make distributions to its stockholders in the future; the Company’s ability to maintain its qualification as a REIT for U.S. federal income tax purposes; the Company’s ability to maintain its exemption from registration under the Investment Company Act of 1940, as amended; impairments and declines in the value of the collateral underlying the Company’s investments; the Company’s ability to effectively integrate Constructive into the Company and the risks associated with the ongoing operation thereof; the Company’s ability to manage or hedge credit risk, interest rate risk, and other financial and operational risks; the Company’s exposure to liquidity risk, risks associated with the use of leverage, and market risks; and risks associated with investing in real estate assets and/or operating companies, including changes in business conditions and the general economy, the availability of investment opportunities and conditions in markets for residential loans, mortgage-backed securities, structured multi-family investments and other assets that the Company owns or in which the Company invests.

These and other risks, uncertainties and factors, including the risk factors and other information described in the Company’s reports filed with the SEC pursuant to the Exchange Act, could cause the Company’s actual results to differ materially from those projected in any forward-looking statements the Company makes. All forward-looking statements speak only as of the date on which they are made. New risks and uncertainties arise over time and it is not possible to predict those events or how they may affect the Company. Except as required by law, the Company is not obligated to, and does not intend to, update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

For Further Information

CONTACT:	AT THE COMPANY
	Phone: 212-792-0107
	Email: InvestorRelations@adamasreit.com

FINANCIAL TABLES FOLLOW

ADAMAS TRUST, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE SHEETS (Dollar amounts in thousands, except share data)
	September 30, 2026				December 31, 2025
	(unaudited)
ASSETS
Investment securities available for sale, at fair value	$	7,343,161			$	6,904,781
Residential loans, at fair value		4,788,939				4,358,175
Residential loans held for sale, at fair value		150,969				80,707
Multi-family loans, at fair value		36,868				55,476
Equity investments, at fair value		17,926				24,711
Cash and cash equivalents		262,360				210,333
Real estate, net		439,590				553,496
Goodwill		22,396				22,396
Other assets		461,966				428,772
Total Assets (1)	$	13,524,175			$	12,638,847
LIABILITIES AND EQUITY
Liabilities:
Repurchase agreements and warehouse facilities	$	7,460,119			$	6,753,417
Collateralized debt obligations ($3,463,270 at fair value and $328,681 at amortized cost, net as of September 30, 2026 and $3,148,157 at fair value and $363,645 at amortized cost, net as of December 31, 2025)		3,791,951				3,511,802
Senior unsecured notes ($434,607 at fair value as of September 30, 2026 and $260,852 at fair value and $99,585 at amortized cost, net as of December 31, 2025)		434,607				360,437
Subordinated debentures		45,000				45,000
Mortgages payable on real estate, net		274,923				332,131
Other liabilities		244,595				205,623
Total liabilities (1)		12,251,195				11,208,410
Commitments and Contingencies
Redeemable Non-Controlling Interest in Consolidated Variable Interest Entities		80				3,016
Stockholders’ Equity:
Preferred stock, par value $0.01 per share, 200,000,000 shares authorized, 22,385,674 shares issued and outstanding ($559,642 aggregate liquidation preference)		540,472				540,472
Common stock, par value $0.01 per share, 200,000,000 shares authorized, 90,304,746 and 90,303,863 shares issued and outstanding as of September 30, 2026 and December 31, 2025, respectively		903				903
Additional paid-in capital		2,308,848				2,294,194
Accumulated deficit		(1,574,072	)			(1,408,647	)
Company’s stockholders’ equity		1,276,151				1,426,922
Non-controlling interests		(3,251	)			499
Total equity		1,272,900				1,427,421
Total Liabilities and Equity	$	13,524,175			$	12,638,847

(1)		Our condensed consolidated balance sheets include assets and liabilities of consolidated variable interest entities (“VIEs”) as the Company is the primary beneficiary of these VIEs. As of September 30, 2026 and December 31, 2025, assets of consolidated VIEs totaled $4,441,415 and $4,367,560, respectively, and the liabilities of consolidated VIEs totaled $4,101,990 and $3,881,273, respectively.

ADAMAS TRUST, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Amounts in thousands, except per share data) (unaudited)
	For the Three Months Ended September 30,								For the Nine Months Ended September 30,
		2026				2025				2026				2025
NET INTEREST INCOME:
Interest income	$	181,234			$	160,633			$	527,692			$	431,268
Interest expense		132,437				124,047				380,275				325,137
Total net interest income		48,797				36,586				147,417				106,131
NET LOSS FROM REAL ESTATE:
Rental income		11,263				16,600				35,871				51,940
Other real estate income		1,995				2,504				5,972				8,457
Total income from real estate		13,258				19,104				41,843				60,397
Interest expense, mortgages payable on real estate		3,281				5,409				10,452				17,298
Depreciation expense		4,503				5,936				13,612				17,759
Other real estate expenses		8,235				11,637				25,430				34,466
Total expenses related to real estate		16,019				22,982				49,494				69,523
Total net loss from real estate		(2,761	)			(3,878	)			(7,651	)			(9,126	)
OTHER (LOSS) INCOME:
Realized losses, net		(6,063	)			(5,610	)			(29,703	)			(50,481	)
Unrealized (losses) gains, net		(471,875	)			54,852				(542,942	)			197,670
Gains (losses) on derivative instruments, net		298,961				(13,006	)			435,565				(86,774	)
Mortgage banking activities, net		10,856				14,103				42,394				14,103
(Loss) income from equity investments		(3,196	)			(1,595	)			(2,706	)			567
Impairment of real estate		(98	)			(1,619	)			(2,489	)			(9,437	)
Other income		3,183				1,479				57,754				5,644
Total other (loss) income		(168,232	)			48,604				(42,127	)			71,292
GENERAL, ADMINISTRATIVE AND OPERATING EXPENSES:
General and administrative expenses		24,262				23,349				74,363				47,549
Portfolio operating expenses		5,835				6,747				18,400				21,307
Loan origination costs		4,198				3,788				13,070				3,788
Financing transaction costs		5,661				7,941				14,168				14,173
Total general, administrative and operating expenses		39,956				41,825				120,001				86,817
(LOSS) INCOME FROM OPERATIONS BEFORE INCOME TAXES		(162,152	)			39,487				(22,362	)			81,480
Income tax (benefit) expense		(22	)			(298	)			150				189
NET (LOSS) INCOME		(162,130	)			39,785				(22,512	)			81,291
Net loss (income) attributable to non-controlling interests		2,996				5,035				(32,840	)			14,231
NET (LOSS) INCOME ATTRIBUTABLE TO COMPANY		(159,134	)			44,820				(55,352	)			95,522
Preferred stock dividends		(11,849	)			(12,118	)			(35,311	)			(36,021	)
NET (LOSS) INCOME ATTRIBUTABLE TO COMPANY’S COMMON STOCKHOLDERS	$	(170,983	)		$	32,702			$	(90,663	)		$	59,501
Basic (loss) earnings per common share	$	(1.89	)		$	0.36			$	(1.01	)		$	0.66
Diluted (loss) earnings per common share	$	(1.89	)		$	0.36			$	(1.01	)		$	0.65
Weighted average shares outstanding-basic		90,275				90,406				90,202				90,437
Weighted average shares outstanding-diluted		90,275				91,614				90,202				91,352

ADAMAS TRUST, INC. AND SUBSIDIARIES SUMMARY OF QUARTERLY (LOSS) EARNINGS (Dollar amounts in thousands, except per share data) (unaudited)
	For the Three Months Ended
	September 30, 2026				June 30, 2026				March 31, 2026				December 31, 2025				September 30, 2025
Interest income	$	181,234			$	174,393			$	172,065			$	170,680			$	160,633
Interest expense		132,437				124,184				123,654				127,510				124,047
Total net interest income		48,797				50,209				48,411				43,170				36,586
Total net loss from real estate		(2,761	)			(2,289	)			(2,602	)			(3,292	)			(3,878	)
Total other (loss) income		(168,232	)			45,158				80,947				52,568				48,604
Total general, administrative and operating expenses		39,956				40,012				40,031				36,123				41,825
(Loss) income from operations before income taxes		(162,152	)			53,066				86,725				56,323				39,487
Income tax (benefit) expense		(22	)			13				159				(44	)			(298	)
Net (loss) income		(162,130	)			53,053				86,566				56,367				39,785
Net loss (income) attributable to non-controlling interests		2,996				2,129				(37,965	)			(2,840	)			5,035
Net (loss) income attributable to Company		(159,134	)			55,182				48,601				53,527				44,820
Preferred stock dividends		(11,849	)			(11,758	)			(11,704	)			(11,922	)			(12,118	)
Net (loss) income attributable to Company’s common stockholders		(170,983	)			43,424				36,897				41,605				32,702
Basic (loss) earnings per common share	$	(1.89	)		$	0.48			$	0.41			$	0.46			$	0.36
Diluted (loss) earnings per common share	$	(1.89	)		$	0.47			$	0.40			$	0.45			$	0.36
Weighted average shares outstanding – basic		90,275				89,979				90,353				90,399				90,406
Weighted average shares outstanding – diluted		90,275				92,348				92,060				91,986				91,614
Yield on average interest earning assets (1)		5.95	%			6.03	%			6.07	%			6.23	%			6.34	%
Net interest spread (1)		1.40	%			1.48	%			1.44	%			1.53	%			1.51	%
Earnings available for distribution attributable to Company’s common stockholders (1)	$	26,965			$	27,127			$	26,423			$	20,414			$	21,991
Earnings available for distribution per common share – basic (1)	$	0.30			$	0.30			$	0.29			$	0.23			$	0.24
Book value per common share	$	7.93			$	10.16			$	9.98			$	9.60			$	9.20
Adjusted book value per common share (1)	$	8.88			$	11.05			$	10.80			$	10.63			$	10.38
Dividends declared per common share	$	0.30			$	0.27			$	0.23			$	0.23			$	0.23
Dividends declared per preferred share on Series D Preferred Stock	$	0.50			$	0.50			$	0.50			$	0.50			$	0.50
Dividends declared per preferred share on Series E Preferred Stock	$	0.67			$	0.65			$	0.65			$	0.68			$	0.70
Dividends declared per preferred share on Series F Preferred Stock	$	0.43			$	0.43			$	0.43			$	0.43			$	0.43
Dividends declared per preferred share on Series G Preferred Stock	$	0.44			$	0.44			$	0.44			$	0.44			$	0.44

(1)		Represents a non-GAAP financial measure. A reconciliation of the Company’s non-GAAP financial measures to their most directly comparable GAAP measure is included below in “Reconciliation of Financial Information.”

Reconciliation of Financial Information

Non-GAAP Financial Measures

In addition to the results presented in accordance with GAAP, this press release includes certain non-GAAP financial measures, including adjusted interest income, adjusted interest expense, adjusted net interest income (loss), yield on average interest earning assets, average financing cost, net interest spread, earnings available for distribution, adjusted book value per common share, Company Economic Recourse Leverage Ratio and Portfolio Economic Recourse Leverage Ratio. Our management team believes that these non-GAAP financial measures, when considered with our GAAP financial statements, provide supplemental information useful for investors as it enables them to evaluate our current performance and trends using the metrics that management uses to operate our business. Our presentation of non-GAAP financial measures may not be comparable to similarly-titled measures of other companies, who may use different calculations. Because these measures are not calculated in accordance with GAAP, they should not be considered a substitute for, or superior to, the financial measures calculated in accordance with GAAP. Our GAAP financial results and the reconciliations of the non-GAAP financial measures included in this press release to the most directly comparable financial measures prepared in accordance with GAAP should be carefully evaluated.

Adjusted Net Interest Income (Loss) and Net Interest Spread

Financial results for the Company during a given period include the net interest income earned on our investments, such as residential loans, residential loans held for sale, investment securities and Mezzanine Lending investments, where the risks and payment characteristics are equivalent to and accounted for as loans (collectively, our “interest earning assets”). Adjusted net interest income (loss) and net interest spread (both supplemental non-GAAP financial measures) are impacted by factors such as our cost of financing, including our hedging costs, and the interest rate that our investments bear. Furthermore, the amount of premium or discount paid on purchased investments and the prepayment rates on investments will impact adjusted net interest income (loss) as such factors will be amortized over the expected term of such investments.

We provide the following non-GAAP financial measures, in total and by investment category, for the respective periods:

• adjusted interest income – calculated as our GAAP interest income reduced by the interest expense recognized on Consolidated SLST CDOs and adjusted to include implied interest income from TBA dollar roll transactions (calculated using the yield to maturity at trade date for each TBA dollar roll position),
• adjusted interest expense – calculated as our GAAP interest expense reduced by the interest expense recognized on Consolidated SLST CDOs and adjusted to include the net interest component of interest rate swaps and implied financing cost of TBA dollar roll transactions (representing the difference between implied interest income from TBA dollar roll transactions and TBA dollar roll income),
• adjusted net interest income (loss) – calculated by subtracting adjusted interest expense from adjusted interest income,
• yield on average interest earning assets – calculated as the quotient of our adjusted interest income and our average interest earning assets, including the cost basis of outstanding TBA dollar roll transactions and excluding all Consolidated SLST assets other than those securities owned by the Company,
• average financing cost – calculated as the quotient of our adjusted interest expense and the average outstanding balance of our interest bearing liabilities, including the cost basis of outstanding TBA dollar roll transactions and excluding Consolidated SLST CDOs and mortgages payable on real estate, and
• net interest spread – calculated as the difference between our yield on average interest earning assets and our average financing cost.

These measures remove the impact of Consolidated SLST that we consolidate in accordance with GAAP and include both the net interest component of interest rate swaps utilized to hedge the variable cash flows associated with our variable-rate borrowings and dollar roll income associated with TBAs, which are included in gains (losses) on derivative instruments, net in the Company’s condensed consolidated statements of operations. With respect to Consolidated SLST, we only include the interest income earned by the Consolidated SLST securities that are actually owned by the Company as the Company only receives income or absorbs losses related to the Consolidated SLST securities actually owned by the Company. We include the net interest component of interest rate swaps in these measures to more fully represent the cost of our financing strategy. We include TBA dollar roll income as it represents the economic equivalent of net interest income on the underlying Agency RMBS over the TBA dollar roll period (implied interest income less implied financing cost).

We provide the non-GAAP financial measures listed above because we believe these non-GAAP financial measures provide investors and management with additional detail and enhance their understanding of our interest earning asset yields, in total and by investment category, relative to the cost of our financing and the underlying trends within our portfolio of interest earning assets. In addition to the foregoing, our management team uses these measures to assess, among other things, the performance of our interest earning assets in total and by asset, possible cash flows from our interest earning assets in total and by asset, our ability to finance or borrow against the asset and the terms of such financing and the composition of our portfolio of interest earning assets, including acquisition and disposition determinations.

A reconciliation of GAAP interest income to adjusted interest income, GAAP interest expense to adjusted interest expense and GAAP total net interest income (loss) to adjusted net interest income (loss) for the three months ended as of the dates indicated is presented below (dollar amounts in thousands):

	September 30, 2026
	Agency				Single-Family Credit				Multi-Family Credit			Corporate/Other				Total
GAAP interest income	$	94,857			$	79,820			$	1,175		$	5,382			$	181,234
GAAP interest expense		(59,435	)			(58,328	)			—			(14,674	)			(132,437	)
GAAP total net interest income (loss)	$	35,422			$	21,492			$	1,175		$	(9,292	)		$	48,797
GAAP interest income	$	94,857			$	79,820			$	1,175		$	5,382			$	181,234
Adjusted for:
Consolidated SLST CDO interest expense		—				(10,705	)			—			—				(10,705	)
Implied interest income from TBA dollar roll transactions		12,298				—				—			—				12,298
Adjusted interest income	$	107,155			$	69,115			$	1,175		$	5,382			$	182,827
GAAP interest expense	$	(59,435	)		$	(58,328	)		$	—		$	(14,674	)		$	(132,437	)
Adjusted for:
Consolidated SLST CDO interest expense		—				10,705				—			—				10,705
Net interest component of interest rate swaps		(720	)			(188	)			—			(999	)			(1,907	)
Implied financing cost of TBA dollar roll transactions		(7,695	)			—				—			—				(7,695	)
Adjusted interest expense	$	(67,850	)		$	(47,811	)		$	—		$	(15,673	)		$	(131,334	)
Adjusted net interest income (loss) (1)	$	39,305			$	21,304			$	1,175		$	(10,291	)		$	51,493

	June 30, 2026
	Agency				Single-Family Credit				Multi-Family Credit			Corporate/Other				Total
GAAP interest income	$	92,911			$	75,734			$	1,714		$	4,034			$	174,393
GAAP interest expense		(56,683	)			(55,199	)			—			(12,302	)			(124,184	)
GAAP total net interest income (loss)	$	36,228			$	20,535			$	1,714		$	(8,268	)		$	50,209
GAAP interest income	$	92,911			$	75,734			$	1,714		$	4,034			$	174,393
Adjusted for:
Consolidated SLST CDO interest expense		—				(10,964	)			—			—				(10,964	)
Implied interest income from TBA dollar roll transactions		3,945				—				—			—				3,945
Adjusted interest income	$	96,856			$	64,770			$	1,714		$	4,034			$	167,374
GAAP interest expense	$	(56,683	)		$	(55,199	)		$	—		$	(12,302	)		$	(124,184	)
Adjusted for:
Consolidated SLST CDO interest expense		—				10,964				—			—				10,964
Net interest component of interest rate swaps		(1,099	)			(42	)			—			(542	)			(1,683	)
Implied financing cost of TBA dollar roll transactions		(2,197	)			—				—			—				(2,197	)
Adjusted interest expense	$	(59,979	)		$	(44,277	)		$	—		$	(12,844	)		$	(117,100	)
Adjusted net interest income (loss) (1)	$	36,877			$	20,493			$	1,714		$	(8,810	)		$	50,274

	March 31, 2026
	Agency				Single-Family Credit				Multi-Family Credit			Corporate/Other				Total
GAAP interest income	$	93,955			$	73,457			$	1,654		$	2,999			$	172,065
GAAP interest expense		(58,596	)			(53,206	)			—			(11,852	)			(123,654	)
GAAP total net interest income (loss)	$	35,359			$	20,251			$	1,654		$	(8,853	)		$	48,411
GAAP interest income	$	93,955			$	73,457			$	1,654		$	2,999			$	172,065
Adjusted for:
Consolidated SLST CDO interest expense		—				(11,120	)			—			—				(11,120	)
Implied interest income from TBA dollar roll transactions		1,000				—				—			—				1,000
Adjusted interest income	$	94,955			$	62,337			$	1,654		$	2,999			$	161,945
GAAP interest expense	$	(58,596	)		$	(53,206	)		$	—		$	(11,852	)		$	(123,654	)
Adjusted for:
Consolidated SLST CDO interest expense		—				11,120				—			—				11,120
Net interest component of interest rate swaps		(381	)			11				—			(162	)			(532	)
Implied financing cost of TBA dollar roll transactions		(713	)			—				—			—				(713	)
Adjusted interest expense	$	(59,690	)		$	(42,075	)		$	—		$	(12,014	)		$	(113,779	)
Adjusted net interest income (loss) (1)	$	35,265			$	20,262			$	1,654		$	(9,015	)		$	48,166

	December 31, 2025
	Agency				Single-Family Credit				Multi-Family Credit			Corporate/Other				Total
GAAP interest income	$	94,743			$	71,700			$	1,711		$	2,526			$	170,680
GAAP interest expense		(63,766	)			(52,710	)			—			(11,034	)			(127,510	)
GAAP total net interest income (loss)	$	30,977			$	18,990			$	1,711		$	(8,508	)		$	43,170
GAAP interest income	$	94,743			$	71,700			$	1,711		$	2,526			$	170,680
Adjusted for:
Consolidated SLST CDO interest expense		—				(10,955	)			—			—				(10,955	)
Implied interest income from TBA dollar roll transactions		154				—				—			—				154
Adjusted interest income	$	94,897			$	60,745			$	1,711		$	2,526			$	159,879
GAAP interest expense	$	(63,766	)		$	(52,710	)		$	—		$	(11,034	)		$	(127,510	)
Adjusted for:
Consolidated SLST CDO interest expense		—				10,955				—			—				10,955
Net interest component of interest rate swaps		2,904				105				—			156				3,165
Implied financing cost of TBA dollar roll transactions		(142	)			—				—			—				(142	)
Adjusted interest expense	$	(61,004	)		$	(41,650	)		$	—		$	(10,878	)		$	(113,532	)
Adjusted net interest income (loss) (1)	$	33,893			$	19,095			$	1,711		$	(8,352	)		$	46,347

	September 30, 2025
	Agency				Single-Family Credit				Multi-Family Credit			Corporate/Other				Total
GAAP interest income	$	85,975			$	70,504			$	2,124		$	2,030			$	160,633
GAAP interest expense		(60,472	)			(53,080	)			—			(10,495	)			(124,047	)
GAAP total net interest income (loss)	$	25,503			$	17,424			$	2,124		$	(8,465	)		$	36,586
GAAP interest income	$	85,975			$	70,504			$	2,124		$	2,030			$	160,633
Adjusted for:
Consolidated SLST CDO interest expense		—				(11,199	)			—			—				(11,199	)
Implied interest income from TBA dollar roll transactions		397				—				—			—				397
Adjusted interest income	$	86,372			$	59,305			$	2,124		$	2,030			$	149,831
GAAP interest expense	$	(60,472	)		$	(53,080	)		$	—		$	(10,495	)		$	(124,047	)
Adjusted for:
Consolidated SLST CDO interest expense		—				11,199				—			—				11,199
Net interest component of interest rate swaps		5,204				504				—			392				6,100
Implied financing cost of TBA dollar roll transactions		(331	)			—				—			—				(331	)
Adjusted interest expense	$	(55,599	)		$	(41,377	)		$	—		$	(10,103	)		$	(107,079	)
Adjusted net interest income (loss) (1)	$	30,773			$	17,928			$	2,124		$	(8,073	)		$	42,752

(1)		Adjusted net interest income (loss) is calculated by subtracting adjusted interest expense from adjusted interest income.

Earnings Available for Distribution

Earnings available for distribution attributable to Company’s common stockholders (“EAD”) (and by calculation, EAD per common share) is a supplemental non-GAAP financial measure comparable to GAAP net income (loss) attributable to Company’s common stockholders. EAD is defined as GAAP net income (loss) attributable to Company’s common stockholders excluding (a) realized and unrealized gains (losses) on our investment portfolio, (b) gains (losses) on derivative instruments (excluding the net interest component of interest rate swaps and TBA dollar roll income), (c) impairment of real estate, (d) other non-recurring gains (losses), (e) depreciation of operating real estate, (f) non-cash expenses, (g) financing transaction costs, (h) non-recurring restructuring and transaction expenses, (i) the income tax effect of non-EAD income (loss) items and (j) EAD adjustments attributable to non-controlling interests.

We believe EAD provides management, analysts and investors with additional details regarding our underlying operating results and investment trends by excluding certain unrealized, non-cash or non-recurring components of GAAP net income (loss) in order to provide additional transparency into our operating performance. In addition, EAD serves as a useful indicator for investors in evaluating our performance and facilitates comparisons to industry peers and from period to period. EAD should not be utilized in isolation, nor should it be considered as a substitute for or superior to GAAP net income (loss) attributable to Company’s common stockholders or GAAP net income (loss) attributable to Company’s common stockholders per basic share. Our presentation of EAD may not be comparable to similarly-titled measures of other companies, who may use different calculations. We may add additional reconciling items to our EAD calculation as appropriate.

We view EAD as one measure of our ability to generate income for distribution to common stockholders. EAD is one factor, but not the exclusive factor, that our Board of Directors uses to determine the amount, if any, of dividends on our common stock. Other factors that our Board of Directors may consider when determining the amount, if any, of dividends on our common stock include, among others, our earnings and financial condition, capital requirements, maintenance of our REIT qualification, restrictions on making distributions under Maryland law and such other factors as our Board of Directors deems relevant. EAD should not be considered as an indication of our REIT taxable income, a guaranty of our ability to pay dividends, or as a proxy for the amount of dividends we may pay, as EAD excludes certain items that impact our liquidity.

A reconciliation of GAAP net (loss) income attributable to Company’s common stockholders to EAD for the respective periods ended is presented below (amounts in thousands, except per share data):

	For the Three Months Ended
	September 30, 2026				June 30, 2026				March 31, 2026				December 31, 2025				September 30, 2025
GAAP net (loss) income attributable to Company’s common stockholders	$	(170,983	)		$	43,424			$	36,897			$	41,605			$	32,702
Adjustments:
Realized losses, net		6,063				12,960				10,680				14,947				5,610
Unrealized losses (gains), net		471,875				8,499				62,568				(19,726	)			(54,852	)
(Gains) losses on derivative instruments, net (1)		(296,265	)			(48,724	)			(88,059	)			(25,294	)			19,172
Unrealized losses, net on equity investments (2)		3,653				1,020				46				4,505				2,860
Impairment of real estate		98				161				2,231				330				1,619
Other losses (gains) (3)		177				150				(50,266	)			(8,691	)			358
Depreciation of operating real estate		4,503				4,486				4,623				5,366				5,936
Non-cash expenses (4)		3,280				3,294				3,157				3,096				2,961
Financing transaction costs		5,661				3,125				5,382				—				7,941
Restructuring and transaction expenses (5)		604				—				—				109				1,245
Income tax effect of adjustments		(42	)			11				4				(75	)			(336	)
EAD adjustments attributable to non-controlling interests		(1,659	)			(1,279	)			39,160				4,242				(3,225	)
Earnings available for distribution attributable to Company’s common stockholders	$	26,965			$	27,127			$	26,423			$	20,414			$	21,991
Weighted average shares outstanding – basic		90,275				89,979				90,353				90,399				90,406
GAAP net (loss) income attributable to Company’s common stockholders per common share – basic	$	(1.89	)		$	0.48			$	0.41			$	0.46			$	0.36
EAD per common share – basic	$	0.30			$	0.30			$	0.29			$	0.23			$	0.24

(1)		Excludes net interest expense of interest rate swaps of approximately $1.9 million, $1.7 million and $0.5 million for the three months ended September 30, 2026, June 30, 2026 and March 31, 2026, respectively, and net interest benefit of interest rate swaps of approximately $3.2 million and $6.1 million for the three months ended December 31, 2025 and September 30, 2025, respectively. Also excludes TBA dollar roll income of approximately $4.6 million, $1.7 million, $0.3 million, $12.0 thousand and $66.2 thousand for the three months ended September 30, 2026, June 30, 2026, March 31, 2026, December 31, 2025 and September 30, 2025, respectively.
(2)		Included in (loss) income from equity investments on the Company’s condensed consolidated statements of operations.
(3)		Primarily includes non-recurring items such as gains (losses) on sales of real estate, gains (losses) on extinguishment of debt, Mezzanine Lending premiums resulting from early redemption, property loss insurance proceeds and provision for uncollectible receivables.
(4)		Includes stock-based compensation and intangible asset amortization.
(5)		Includes non-recurring expenses such as restructuring expenses and transaction expenses related to our acquisition of Constructive, professional fees incurred related to our name change and other non-recurring transaction expenses.

Adjusted Book Value Per Common Share

Adjusted book value per common share is a supplemental non-GAAP financial measure calculated by making the following adjustments to GAAP book value: (i) exclude the Company’s share of cumulative depreciation and lease intangible amortization expenses related to real estate held at the end of the period for which an impairment has not been recognized, (ii) exclude the cumulative adjustment of redeemable non-controlling interests to estimated redemption value and (iii) adjust our amortized cost liabilities that finance our investments to fair value.

Our rental property portfolio includes, or has included, fee simple interests in single-family rental homes and joint venture equity interests and a cross-collateralized mezzanine lending investment in multi-family properties owned by Consolidated Real Estate VIEs. By excluding our share of cumulative non-cash depreciation and amortization expenses related to real estate held at the end of the period for which an impairment has not been recognized, adjusted book value reflects the value, at their undepreciated basis, of our single-family rental properties, joint venture equity investments and cross-collateralized mezzanine lending investment that the Company has determined to be recoverable at the end of the period.

Additionally, in connection with third party ownership of certain of the non-controlling interests in an entity in which we maintain our cross-collateralized mezzanine lending investment, we record redeemable non-controlling interests as mezzanine equity on our condensed consolidated balance sheets. The holders of the redeemable non-controlling interests may elect to sell their ownership interests to us at fair value once a year, subject to annual minimum and maximum amount limitations, resulting in an adjustment of the redeemable non-controlling interests to fair value that is accounted for by us as an equity transaction in accordance with GAAP. A key component of the estimation of fair value of the redeemable non-controlling interests is the estimated fair value of the multi-family apartment properties held by the entity in which we maintain our cross-collateralized mezzanine lending investment. However, because the corresponding real estate assets are not reported at fair value and thus not adjusted to reflect unrealized gains or losses in our condensed consolidated financial statements, the cumulative adjustment of the redeemable non-controlling interests to fair value directly affects our GAAP book value. By excluding the cumulative adjustment of redeemable non-controlling interests to estimated redemption value, adjusted book value more closely aligns the accounting treatment applied to these real estate assets and reflects our cross-collateralized mezzanine lending investment at its undepreciated basis.

The substantial majority of our remaining assets are financial or similar instruments that are carried at fair value in accordance with the fair value option in our condensed consolidated financial statements. However, unlike our use of the fair value option for these assets, certain CDOs issued by our residential loan securitizations, certain senior unsecured notes and subordinated debentures that finance our investments are, or were, carried at amortized cost in our condensed consolidated financial statements. By adjusting these financing instruments to fair value, adjusted book value reflects the Company’s net equity in investments on a comparable fair value basis.

We believe that the presentation of adjusted book value per common share provides a useful measure for investors and us as it provides a consistent measure of our value, allows management to effectively consider our financial position and facilitates the comparison of our financial performance to that of our peers.

A reconciliation of GAAP book value to adjusted book value and calculation of adjusted book value per common share as of the dates indicated is presented below (amounts in thousands, except per share data):

		September 30, 2026				June 30, 2026				March 31, 2026				December 31, 2025				September 30, 2025
Company’s stockholders’ equity		$	1,276,151			$	1,472,463			$	1,456,461			$	1,426,922			$	1,390,777
Preferred stock liquidation preference			(559,642	)			(559,642	)			(559,642	)			(559,642	)			(559,642	)
GAAP book value			716,509				912,821				896,819				867,280				831,135
Add:
Cumulative depreciation expense on real estate (1)			27,957				26,516				24,751				26,864				26,357
Cumulative amortization of lease intangibles related to real estate (1)			3,794				3,794				3,794				4,106				4,620
Cumulative adjustment of redeemable non-controlling interest to estimated redemption value			32,448				28,225				23,304				42,222				54,782
Adjustment of amortized cost liabilities to fair value			20,858				21,649				22,257				19,202				20,481
Adjusted book value		$	801,566			$	993,005			$	970,925			$	959,674			$	937,375
Common shares outstanding			90,305				89,880				89,861				90,304				90,308
GAAP book value per common share (2)		$	7.93			$	10.16			$	9.98			$	9.60			$	9.20
Adjusted book value per common share (3)		$	8.88			$	11.05			$	10.80			$	10.63			$	10.38

(1)		Represents cumulative adjustments for the Company’s share of depreciation expense and amortization of lease intangibles related to real estate held as of the end of the period presented for which an impairment has not been recognized.
(2)		GAAP book value per common share is calculated using the GAAP book value and the common shares outstanding for the periods indicated.
(3)		Adjusted book value per common share is calculated using the adjusted book value and the common shares outstanding for the periods indicated.

Company Economic Recourse Leverage Ratio and Portfolio Economic Recourse Leverage Ratio

We use equity and financing to invest in our target assets, earning the spread between the yield on our assets and the cost of our borrowings. Our primary measures of leverage are our Company Economic Recourse Leverage Ratio and Portfolio Economic Recourse Leverage Ratio.

Company Economic Recourse Leverage Ratio represents the Company’s total outstanding recourse repurchase agreement and warehouse facility financing, subordinated debentures, senior unsecured notes and the cost basis of net outstanding TBAs, to the extent applicable, divided by the Company’s total stockholders’ equity. Company Economic Recourse Leverage Ratio does not include collateralized debt obligations and mortgages payable on real estate as they are non-recourse debt.

Portfolio Economic Recourse Leverage Ratio represents the Company’s outstanding recourse repurchase agreement and warehouse facility financing and the cost basis of net outstanding TBAs, to the extent applicable, divided by the Company’s total stockholders’ equity.

We include the cost basis of our net outstanding TBA position in our measures of leverage because a forward contract to acquire Agency RMBS in the TBA market carries similar risks to Agency RMBS purchased in the cash market and funded with on-balance sheet liabilities. Similarly, a TBA contract for the forward sale of Agency RMBS has substantially the same effect as selling the underlying Agency RMBS and reducing our on-balance sheet funding commitments. We believe that the presentation of our Company Economic Recourse Leverage Ratio and Portfolio Economic Recourse Leverage Ratio provides useful information to investors because such measures reflect the economic leverage of our Company and our portfolio by including the leverage effect of TBA transactions as if they were Agency RMBS purchases or sales in the cash market funded on balance sheet. As of September 30, 2026, we held a net short TBA position, and the cost basis of that position reduced our Company Economic Recourse Leverage Ratio and Portfolio Economic Recourse Leverage Ratio.

The following table presents a summary of our leverage ratios as of the dates indicated (dollar amounts in thousands):

		September 30, 2026				June 30, 2026				March 31, 2026				December 31, 2025				September 30, 2025
Total GAAP debt		$	12,006,600			$	11,316,556			$	11,148,641			$	11,002,787			$	10,823,143
Less non-recourse debt:
Collateralized debt obligations			(3,791,951	)			(3,581,856	)			(3,468,944	)			(3,511,802	)			(3,577,459	)
Mortgages payable on real estate, net			(274,923	)			(274,940	)			(276,032	)			(332,131	)			(362,747	)
Plus (less):
Net cost basis of outstanding TBAs			(1,839,293	)			662,984				149,413				—				30,764
Company economic recourse debt		$	6,100,433			$	8,122,744			$	7,553,078			$	7,158,854			$	6,913,701
Total Company’s stockholders’ equity		$	1,276,151			$	1,472,463			$	1,456,461			$	1,426,922			$	1,390,777
Company Economic Recourse Leverage Ratio		4.8x				5.5x				5.2x				5.0x				5.0x
Repurchase agreements and warehouse facilities		$	7,460,119			$	7,067,223			$	7,019,017			$	6,753,417			$	6,481,072
Plus (less):
Net cost basis of outstanding TBAs			(1,839,293	)			662,984				149,413				—				30,764
Portfolio economic recourse debt		$	5,620,826			$	7,730,207			$	7,168,430			$	6,753,417			$	6,511,836
Total Company’s stockholders’ equity		$	1,276,151			$	1,472,463			$	1,456,461			$	1,426,922			$	1,390,777
Portfolio Economic Recourse Leverage Ratio		4.4x				5.2x				4.9x				4.7x				4.7x

Equity Investments in Multi-Family Entities

We own, and have owned, a cross-collateralized mezzanine lending and joint venture equity investments in entities that own multi-family properties. We determined that these entities are VIEs and that we are or were the primary beneficiary of these VIEs, resulting in consolidation of the VIEs, including their assets, liabilities, income and expenses, in our condensed consolidated financial statements with non-controlling interests for the third-party ownership of the entities’ membership interests.

We also own a preferred equity investment in a VIE that owns a multi-family property and for which, as of September 30, 2026, the Company is the primary beneficiary, resulting in consolidation of the assets, liabilities, income and expenses of the VIE in our condensed consolidated financial statements with a non-controlling interest for the third-party ownership of the VIE’s membership interests.

A reconciliation of our net equity investments in consolidated multi-family properties to our condensed consolidated financial statements as of September 30, 2026 is shown below (dollar amounts in thousands):

Cash and cash equivalents		$	3,718
Real estate, net			338,243
Other assets			12,457
Total assets		$	354,418
Mortgages payable on real estate, net		$	274,923
Other liabilities			8,236
Total liabilities		$	283,159
Redeemable non-controlling interest in Consolidated VIEs		$	80
Less: Cumulative adjustment of redeemable non-controlling interest to estimated redemption value			(32,448	)
Non-controlling interest in Consolidated VIEs			(3,376	)
Net equity investment in consolidated multi-family properties		$	107,003