EQUITY LIFESTYLE PROPERTIES INC 10-Q

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations The following discussion and analysis should be read in conjunction with the consolidated financial statements and accompanying notes thereto included in this Quarterly Report on Form 10-Q and in our Annual Report on Form 10-K for the year ended December 31, 2025 (“2025 Form 10-K”), as well as information in Part II. Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations in our 2025 Form 10-K. Overview and Outlook We are a self-administered and self-managed real estate investment trust (“REIT”) with headquarters in Chicago, Illinois. We are a fully integrated owner of lifestyle-oriented properties (“Properties”) consisting of property operations and home sales and rental operations primarily within manufactured home (“MH”) and recreational vehicle (“RV”) communities and marinas. As of June 30, 2026, we owned or had an ownership interest in a portfolio of 453 Properties located throughout the United States and Canada containing 173,559 individual developed areas (“Sites”). These Properties are located in 35 states and British Columbia. We invest in properties in sought-after locations near retirement and vacation destinations and urban areas across the United States with a focus on delivering an exceptional experience to our residents and guests that results in delivery of value to stockholders. Our business model is intended to provide an opportunity for increased cash flows and appreciation in value. We seek growth in earnings, Funds from Operations (“FFO”), Normalized Funds from Operations (“Normalized FFO”) and cash flows by enhancing the profitability and operation of our Properties and investments. We accomplish this by attracting and retaining high quality customers to our Properties, who take pride in our Properties and in their homes and efficiently managing our Properties by increasing occupancy, maintaining competitive market rents and controlling expenses. We also actively pursue opportunities that fit our acquisition criteria and are currently engaged in various stages of negotiations relating to the possible acquisition of additional properties. We believe the demand from baby boomers for MH and RV communities will continue to be strong over the long term. It is estimated that approximately 10,000 Americans turn 65 years old every day and all baby boomers will be at least age 65 by 2030. These individuals, seeking an active lifestyle, will continue to drive the market for second-home sales as vacation properties, investment opportunities or retirement retreats. We expect it is likely that we will continue to see high levels of second-home sales and that manufactured homes and cottages in our Properties will continue to provide a viable second-home alternative to site-built homes. We also believe the Millennial and Generation Z demographic will contribute to our future long-term customer pipeline. After conducting a comprehensive study of RV ownership, according to the Recreational Vehicle Industry Association (“RVIA”), data suggested that RV sales are expected to benefit from an increase in demand from those born in the United States from 1980 to 2003, or Millennials and Generation Z, over the coming years. We believe the demand from baby boomers and these younger generations will continue to outpace supply for MH and RV communities. The entitlement process to develop new MH and RV communities is extremely restrictive. As a result, there have been limited new communities developed in our target geographic markets. We generate the majority of our revenues from customers renting our Sites or entering into right-to-use contracts, also known as membership subscriptions, which provide them access to specific Properties for limited stays. MH Sites are generally leased on an annual basis to residents who own or lease factory-built homes, including manufactured homes. Annual RV and marina Sites are leased on an annual basis to customers who generally have an RV, factory-built cottage, boat or other unit placed on the site, including those Northern properties that are open for the summer season. Seasonal RV and marina Sites are leased to customers generally for one to six months. Transient RV and marina Sites are leased to customers on a short-term basis. The revenue from seasonal and transient Sites is generally higher during the first and third quarters. We consider the transient revenue stream to be our most volatile as it is subject to weather conditions and other factors affecting the marginal RV customer’s vacation and travel preferences. We also generate revenue from customers renting our marina dry storage. Additionally, we have interests in joint venture Properties for which revenue is classified as Equity in income/(loss) of unconsolidated joint ventures in the Consolidated Statements of Income and Comprehensive Income. 21 Management’s Discussion and Analysis (continued) The following table shows the breakdown of our Sites by type (amounts are approximate): Total Sites as of June 30, 2026 MH Sites (1) 75,900 RV Sites: Annual (1) 34,300 Seasonal 9,800 Transient (1) 20,700 Marina Slips 6,900 Membership (2) 26,000 Total 173,600 _________________________ (1) MH, Annual RV and Transient RV sites include approximately 2,100, 200 and 300 joint venture sites, respectively. (2) Primarily utilized to service approximately 107,900 members. Includes approximately 6,000 Sites rented on an annual basis. In our Home Sales and Rentals Operations business, our revenue streams include home sales, home rentals and brokerage services and ancillary activities. We generate revenue through home sales and rental operations by selling or leasing manufactured homes and cottages that are located in Properties owned and managed by us. We believe renting our vacant homes represents an attractive source of occupancy and an opportunity to convert the renter to a homebuyer in the future. Additionally, home sale brokerage services are offered to our residents who may choose to sell their homes rather than relocate them when moving from a Property. At certain Properties, we operate ancillary facilities, such as golf courses, pro shops, stores and restaurants. In the manufactured housing industry, options for home financing, also known as chattel financing, are limited. Chattel financing options available today include community owner-funded programs or third-party lender programs that provide subsidized financing to customers and often require the community owner to guarantee customer defaults. Third-party lender programs have stringent underwriting criteria, sizable down payment requirements, short term loan amortization and high interest rates. In addition to net income computed in accordance with U.S. Generally Accepted Accounting Principles (“GAAP”), we assess and measure our overall financial and operating performance using certain Non-GAAP supplemental measures, which include: (i) FFO, (ii) Normalized FFO, (iii) Income from property operations, (iv) Income from property operations, excluding property management, and (v) Core Portfolio income from property operations, excluding property management (operating results for Properties owned and operated in both periods under comparison). We use these measures internally to evaluate the operating performance of our portfolio and provide a basis for comparison with other real estate companies. Definitions and reconciliations of these measures to the most comparable GAAP measures are included below in this discussion. Results Overview (amounts in thousands) Quarters Ended June 30, 2026 2025 $ Change % Change (1) Net Income per fully diluted Common Share $ 0.50 $ 0.42 $ 0.08 19.1 % FFO per fully diluted Common Share and OP Unit $ 0.77 $ 0.69 $ 0.08 11.7 % Normalized FFO per fully diluted Common Share and OP Unit $ 0.74 $ 0.69 $ 0.05 7.7 % Six Months Ended June 30, 2026 2025 $ Change % Change (1) Net Income per fully diluted Common Share $ 1.05 $ 0.99 $ 0.06 6.6 % FFO per fully diluted Common Share and OP Unit $ 1.60 $ 1.52 $ 0.08 5.1 % Normalized FFO per fully diluted Common Share and OP Unit $ 1.58 $ 1.52 $ 0.06 3.6 % _____________________ 1. Calculations prepared using actual results without rounding. For the quarter ended June 30, 2026, property operating revenues in our Core Portfolio increased 4.9% and property operating expenses in our Core Portfolio, excluding property management, increased 2.9% from the same period in 2025, resulting in increased Income from property operations, excluding property management, of 6.5%. 22 Management’s Discussion and Analysis (continued) While we continue to focus on increasing the number of manufactured homeowners in our Core Portfolio, we also believe that renting our vacant homes represents an attractive source of occupancy and an opportunity to potentially convert the renter to a new homebuyer in the future. We continue to expect there to be fluctuations in the sources of occupancy gains depending on local market conditions, availability of vacant sites and success with converting renters to homeowners. Our Core Portfolio average occupancy includes both homeowners and renters in our MH communities and was 93.8% for the quarter ended June 30, 2026, 94.3% for the quarter ended June 30, 2025 and 94.0% for the quarter ended December 31, 2025. The decline in average occupancy compared to the quarter ended June 30, 2025 was primarily driven by 503 expansion sites that were added since June 30, 2025. During the quarter ended June 30, 2026, our Core Portfolio occupancy increased by 13 sites, which included increases in rental occupancy of 11 sites and homeowner occupancy of 2 sites compared to March 31, 2026. As of June 30, 2026, we had 2,146 occupied rental homes in our Core MH communities. RV and marina base rental income in our Core Portfolio increased 1.8% for the quarter ended June 30, 2026, compared to the same period in 2025, due to an increase in Core Annual RV and marina base rental income of 5.4%, offset by decreases in Core Seasonal and Transient RV and marina base rental income of 11.2% and 8.9%, respectively. The increase in Core Annual RV and marina base rental income was driven by a 5.3% increase in rate and a 0.1% gain in occupancy since the quarter ended June 30, 2025. The decreases in Core Seasonal and Transient RV and marina base rental income were primarily due to lower occupancy. We closed 98 new home sales during the quarter ended June 30, 2026 compared to 117 new home sales during the quarter ended June 30, 2025. Our gross investment in real estate increased $234.3 million to $8,413.0 million as of June 30, 2026 from $8,178.7 million as of December 31, 2025, primarily due to the consolidation of our investments in certain RVC joint ventures of $103.3 million and capital improvements during the six months ended June 30, 2026. The following chart lists the Properties acquired from January 1, 2025 through June 30, 2026 and Sites added through expansion opportunities at our existing Properties: Location Type of Property Transaction Date Sites Total Sites as of January 1, 2025 (1)(2) 173,200 Expansion Site Development: Sites added (reconfigured) in 2025 440 Sites added (reconfigured) in 2026 188 Dispositions: Desert Vista Salome, Arizona RV October 1, 2025 (125) Valley Vista Benson, Arizona RV October 1, 2025 (145) Total Sites as of June 30, 2026 (1) 173,600 ______________________ (1) Sites are approximate. (2) Includes RVC site count. Non-GAAP Financial Measures Management’s discussion and analysis of financial condition and results of operations include certain Non-GAAP financial measures that in management’s view of the business are meaningful as they allow investors the ability to understand key operating details of our business that may not always be indicative of recurring annual cash flow of the portfolio. These Non-GAAP financial measures as determined and presented by us may not be comparable to similarly titled measures reported by other companies, and include Income from property operations and Core Portfolio, FFO and Normalized FFO. We believe investors should review Income from property operations and Core Portfolio, FFO and Normalized FFO, along with GAAP net income and cash flows from operating activities, investing activities and financing activities, when evaluating an equity REIT’s operating performance. A discussion of Income from property operations and Core Portfolio, FFO and Normalized FFO, and a reconciliation to net income are included below. 23 Management’s Discussion and Analysis (continued) Income from Property Operations and Core Portfolio We use Income from property operations, Income from property operations, excluding property management, and Core Portfolio income from property operations, excluding property management, as alternative measures to evaluate the operating results of our Properties. Income from property operations represents rental income, membership subscriptions and upgrade revenue, utility and other income less property and rental home operating and maintenance expenses, real estate taxes, membership sales and marketing expenses and property management expenses. Income from property operations, excluding property management, represents Income from property operations excluding property management expenses. Property management represents the expenses associated with indirect costs such as off-site payroll and certain administrative and professional expenses. We believe exclusion of property management expenses is helpful to investors and analysts as a measure of the operating results of our Properties, excluding items that are not directly related to the operation of the Properties. For comparative purposes, we present bad debt expense within Insurance and other in the current and prior periods. We believe that this Non-GAAP financial measure is helpful to investors and analysts as a measure of the operating results of our Properties. Our Core Portfolio consists of our Properties owned and operated during all of 2025 and 2026. Core Portfolio income from property operations, excluding property management, is useful to investors for annual comparison as it removes the fluctuations associated with acquisitions, dispositions and significant transactions or unique situations. Our Non-Core Portfolio includes all Properties that were not owned and operated during all of 2025 and 2026, including six Properties in Florida impacted by Hurricane Ian, two Properties in California that were impacted by storm and flooding events and seven acquired RVC properties. FFO and Normalized FFO We define FFO as net income, computed in accordance with GAAP, excluding gains or losses from sales of properties, depreciation and amortization related to real estate, impairment charges and adjustments to reflect our share of FFO of unconsolidated joint ventures. Adjustments for unconsolidated joint ventures are calculated to reflect FFO on the same basis. We compute FFO in accordance with our interpretation of standards established by the National Association of Real Estate Investment Trusts (“NAREIT”), which may not be comparable to FFO reported by other REITs that do not define the term in accordance with the current NAREIT definition or that interpret the current NAREIT definition differently than we do. We believe FFO, as defined by the Board of Governors of NAREIT, is generally a measure of performance for an equity REIT. While FFO is a relevant and widely used measure of operating performance for equity REITs, it does not represent cash flow from operations or net income as defined by GAAP, and it should not be considered as an alternative to these indicators in evaluating liquidity or operating performance. We define Normalized FFO as FFO excluding non-operating income and expense items, such as gains and losses from early debt extinguishment, including prepayment penalties, defeasance costs, transaction/pursuit costs and other, and other miscellaneous non-comparable items. Normalized FFO presented herein is not necessarily comparable to Normalized FFO presented by other real estate companies due to the fact that not all real estate companies use the same methodology for computing this amount. We believe that FFO and Normalized FFO are helpful to investors as supplemental measures of the performance of an equity REIT. We believe that by excluding the effect of gains or losses from sales of properties, depreciation and amortization related to real estate and impairment charges, which are based on historical costs and may be of limited relevance in evaluating current performance, FFO can facilitate comparisons of operating performance between periods and among other equity REITs. We further believe that Normalized FFO provides useful information to investors, analysts and our management because it allows them to compare our operating performance to the operating performance of other real estate companies and between periods on a consistent basis without having to account for differences not related to our normal operations. For example, we believe that excluding the early extinguishment of debt and other miscellaneous non-comparable items from FFO allows investors, analysts and our management to assess the sustainability of operating performance in future periods because these costs do not affect the future operations of the properties. In some cases, we provide information about identified non-cash components of FFO and Normalized FFO because it allows investors, analysts and our management to assess the impact of those items. Our definitions and calculations of these Non-GAAP financial and operating measures and other terms may differ from the definitions and methodologies used by other REITs and, accordingly, may not be comparable. These Non-GAAP financial and operating measures do not represent cash generated from operating activities in accordance with GAAP, nor do they represent cash available to pay distributions and should not be considered as an alternative to net income, determined in accordance with GAAP, as an indication of our financial performance, or to cash flows from operating activities, determined in accordance with GAAP, as a measure of our liquidity, nor is it indicative of funds available to fund our cash needs, including our ability to make cash distributions. 24 Management’s Discussion and Analysis (continued) The following table reconciles Net income available for Common Stockholders to Income from property operations: Quarters Ended June 30, Six Months Ended June 30, (amounts in thousands) 2026 2025 2026 2025 Computation of Income from Property Operations: Net income available for Common Stockholders $ 96,316 $ 79,708 $ 204,220 $ 188,900 Redeemable perpetual preferred stock dividends 8 8 8 8 Income allocated to non-controlling interests – Common OP Units 3,194 3,777 6,781 8,978 Consolidated net income 99,518 83,493 211,009 197,886 Equity in (income)/loss of unconsolidated joint ventures (668) 47 209 (4,854) (Gain)/Loss on sale of real estate and impairment, net 507 683 507 683 Gross revenues from home sales, brokered resales and ancillary services (22,805) (22,798) (41,901) (43,721) Interest income (1,580) (2,202) (3,771) (4,440) Income from other investments, net (5,809) (2,084) (7,583) (4,102) Property management 21,845 20,723 40,516 41,153 Depreciation and amortization 53,637 52,649 106,773 103,591 Cost of home sales, brokered resales and ancillary services 16,903 16,476 30,503 30,168 Home selling expenses and ancillary operating expenses 7,618 6,988 14,441 13,156 General and administrative 11,872 10,455 22,973 19,694 Casualty-related charges/(recoveries), net (1) (7,094) (541) (7,026) (324) Other expenses 1,209 (59) 2,442 1,819 Interest and related amortization 33,824 32,200 67,469 63,336 Income from property operations, excluding property management 208,977 196,030 436,561 414,045 Property management (21,845) (20,723) (40,516) (41,153) Income from property operations $ 187,132 $ 175,307 $ 396,045 $ 372,892 ______________________ 1. Casualty-related charges/(recoveries), net for the quarter and six months ended June 30, 2026 includes insurance recovery revenue of $7.1 million for reimbursement of capital expenditures. The following table presents a calculation of FFO available for Common Stock and OP Unitholders and Normalized FFO available for Common Stock and OP Unitholders: Quarters Ended June 30, Six Months Ended June 30, (amounts in thousands) 2026 2025 2026 2025 Computation of FFO and Normalized FFO: Net income available for Common Stockholders $ 96,316 $ 79,708 $ 204,220 $ 188,900 Income allocated to non-controlling interests – Common OP Units 3,194 3,777 6,781 8,978 Depreciation and amortization 53,637 52,649 106,773 103,591 Depreciation on unconsolidated joint ventures 890 1,466 2,367 2,797 (Gain)/Loss on sale of real estate and impairment, net 507 683 507 683 FFO available for Common Stock and OP Unit holders 154,544 138,283 320,648 304,949 Insurance proceeds due to catastrophic weather event (7,078) (593) (7,011) (593) Other items (1) 860 — 1,985 — Normalized FFO available for Common Stock and OP Unit holders $ 148,326 $ 137,690 $ 315,622 $ 304,356 Weighted average Common Shares outstanding – Fully Diluted 200,209 200,095 200,193 200,084 _____________________ (1) Represents expenses of $0.9 million and $2.0 million related to non-operating legal expenses during the quarter and six months ended June 30, 2026, respectively. 25 Management’s Discussion and Analysis (continued) Results of Operations This section discusses the comparison of our results of operations for the quarters and six months ended June 30, 2026 and 2025 and our operating activities, investing activities and financing activities for the six months ended June 30, 2026 and 2025. Our Core Portfolio could change from time-to-time depending on acquisitions, dispositions and significant transactions or unique situations. For the comparison of our results of operations for the quarters and six months ended June 30, 2025 and June 30, 2024 and discussion of our operating activities, investing activities and financing activities for the six months ended June 30, 2025 and June 30, 2024, refer to Part I. Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations of the Quarterly Report on Form 10-Q for the fiscal quarter ended June 30, 2025, filed with the SEC on July 29, 2025. Comparison of the Quarter Ended June 30, 2026 to the Quarter Ended June 30, 2025 Income from Property Operations The following table summarizes certain financial and statistical data for our Core Portfolio and total portfolio: Core Portfolio Total Portfolio Quarters Ended June 30, Quarters Ended June 30, (amounts in thousands) 2026 2025 Variance % Change 2026 2025 Variance % Change MH base rental income (1) $ 196,931 $ 186,196 $ 10,735 5.8 % $ 197,164 $ 186,382 $ 10,782 5.8 % Rental home income (1) 3,867 3,529 338 9.6 % 3,897 3,540 357 10.1 % RV and marina base rental income (1) 103,442 101,586 1,856 1.8 % 110,475 106,123 4,352 4.1 % Annual membership subscriptions 18,524 16,712 1,812 10.8 % 18,819 16,902 1,917 11.3 % Membership upgrade revenue (2) 3,120 3,120 — — % 3,120 3,120 — — % Utility and other income (1) 35,059 32,900 2,159 6.6 % 35,807 35,328 479 1.4 % Property operating revenues 360,943 344,043 16,900 4.9 % 369,282 351,395 17,887 5.1 % Utility expense 40,350 38,164 2,186 5.7 % 41,681 39,182 2,499 6.4 % Payroll 31,601 30,926 675 2.2 % 32,936 31,815 1,121 3.5 % Repairs and maintenance 29,942 28,592 1,350 4.7 % 30,849 29,495 1,354 4.6 % Insurance and other (1)(3) 25,825 26,340 (515) (2.0) % 27,034 27,663 (629) (2.3) % Real estate taxes 21,186 21,182 4 — % 21,826 21,845 (19) (0.1) % Rental home operating and maintenance 1,420 1,300 120 9.2 % 1,428 1,303 125 9.6 % Membership sales and marketing 4,544 4,042 502 12.4 % 4,551 4,062 489 12.0 % Property operating expenses, excluding property management 154,868 150,546 4,322 2.9 % 160,305 155,365 4,940 3.2 % Income from property operations, excluding property management (4) 206,075 193,497 12,578 6.5 % 208,977 196,030 12,947 6.6 % Property management 21,845 20,723 1,122 5.4 % 21,845 20,723 1,122 5.4 % Income from property operations (4) $ 184,230 $ 172,774 $ 11,456 6.6 % $ 187,132 $ 175,307 $ 11,825 6.7 % _____________________ (1) Rental income consists of the following total portfolio income items in this table: 1) MH base rental income, 2) Rental home income, 3) RV and marina base rental income and 4) Utility income, which is calculated by subtracting Other income in the Consolidated Statements of Income and Comprehensive Income from Utility and other income in this table. The difference between the sum of the total portfolio income items and Rental income in the Consolidated Statements of Income and Comprehensive Income is bad debt expense, which is presented in Insurance and other in this table. (2) Membership upgrade product offerings consist of two- to four-year term subscription products, which are recognized in Annual membership subscriptions. Prices for two-year products range between $4,000 to $8,000 and between approximately $7,000 to $14,000 for the four-year product, which results in approximately $2,500 to $3,000 of earned revenue on an annual basis. (3) Includes bad debt expense for all periods presented. (4) See Non-GAAP Financial Measures section of the Management’s Discussion and Analysis for definitions and reconciliations of these Non-GAAP measures to Net Income available for Common Stockholders. Total Portfolio income from property operations for the quarter ended June 30, 2026 increased $11.8 million, or 6.7%, from the same period in 2025 driven by increases of $11.5 million, or 6.6%, from our Core Portfolio and $0.3 million from our Non-Core Portfolio. 26 Management’s Discussion and Analysis (continued) Property Operating Revenues MH base rental income in our Core Portfolio for the quarter ended June 30, 2026 increased $10.7 million, or 5.8%, from the same period in 2025, which reflects 5.8% growth from rate increases. The average monthly MH base rental income per Site in our Core Portfolio increased to approximately $956 for the quarter ended June 30, 2026 from approximately $904 for the quarter ended June 30, 2025. RV and marina base rental income is comprised of the following: Core Portfolio Total Portfolio Quarters Ended June 30, Quarters Ended June 30, (amounts in thousands) 2026 2025 Variance % Change 2026 2025 Variance % Change Annual $ 81,527 $ 77,339 $ 4,188 5.4 % $ 84,495 $ 79,823 $ 4,672 5.9 % Seasonal 6,406 7,216 (810) (11.2) % 6,855 7,705 (850) (11.0) % Transient 15,509 17,031 (1,522) (8.9) % 19,125 18,595 530 2.9 % RV and marina base rental income $ 103,442 $ 101,586 $ 1,856 1.8 % $ 110,475 $ 106,123 $ 4,352 4.1 % RV and marina base rental income in our Core Portfolio for the quarter ended June 30, 2026 increased $1.9 million, or 1.8%, from the same period in 2025 due to an increase in Core Annual RV and marina base rental income of 5.4%, offset by decreases in Core Seasonal and Transient RV and marina base rental income of 11.2% and 8.9%, respectively. The increase in Core Annual RV and marina base rental income was driven by an increase in rate of 5.3%. The decrease in Core Transient RV and marina base rental income was primarily due to lower occupancy in the South, Pacific West and Central regions. Utility and other income in our Core Portfolio for the quarter ended June 30, 2026 increased $2.2 million, or 6.6%, from the same period in 2025. The increase was primarily due to increases of $1.8 million and $0.4 million in utility income and pass-through income, respectively. The increase in utility income was driven by higher expenses driving additional recovery primarily in sewer, electric, trash and water. The utility recovery rate (utility income divided by utility expenses) for the quarters ended June 30, 2026 and 2025 were approximately 50.5% and 48.8%, respectively. The increase in pass-through income was primarily driven by increases in real estate tax pass-throughs to customers in Florida. Property Operating Expenses Property operating expenses, excluding property management, in our Core Portfolio for the quarter ended June 30, 2026 increased $4.3 million, or 2.9%, from the same period in 2025, driven by increases in Utility expense of $2.2 million and Repairs and maintenance of $1.4 million, partially offset by a decrease in Insurance and other of $0.5 million. The increase in Utility expense was due to increases in sewer, water and trash expenses. The increase in Repair and maintenance expense was due to increases in extraordinary repair and maintenance expense, lawn and common area maintenance expense and pool expense. The decrease in Insurance and other was due primarily to a decrease in insurance expense as a result of our April 1, 2026 property and casualty insurance renewal. 27 Management’s Discussion and Analysis (continued) Home Sales and Other The following table summarizes certain financial and statistical data for our Home Sales and Other Operations: Quarters Ended June 30, (amounts in thousands, except home sales volumes) 2026 2025 Variance % Change Gross revenues from new home sales $ 9,028 $ 9,444 $ (416) (4.4) % Cost of new home sales 8,542 8,908 (366) (4.1) % Gross revenues from used home sales 698 761 (63) (8.3) % Cost of used home sales 1,446 1,232 214 17.4 % Gross revenues from brokered resales and ancillary services 13,079 12,593 486 3.9 % Cost of brokered resales and ancillary services 6,915 6,336 579 9.1 % Home selling and ancillary operating expenses 7,618 6,988 630 9.0 % Home sales volumes: New home sales 98 117 (19) (16.2) % Used home sales 137 85 52 61.2 % Brokered home resales 143 126 17 13.5 % Gross revenues from brokered resales and ancillary services and Cost of brokered resales and ancillary services increased by $0.5 million and $0.6 million, respectively, dur ing the quarter ended June 30, 2026 compared to the quarter ended June 30, 2025. The increases were the result of higher revenue and cost of sales related to ancillary services offered at our Properties. Rental Operations The following table summarizes certain financial and statistical data for our MH Rental Operations: Quarters Ended June 30, (amounts in thousands, except rental unit volumes) 2026 2025 Variance % Change Rental operations revenue (1) $ 9,921 $ 8,749 $ 1,172 13.4 % Rental home operating and maintenance 1,420 1,300 120 9.2 % Depreciation on rental homes (2) 2,799 2,878 (79) (2.7) % Gross investment in new manufactured home rental units $ 281,885 $ 227,739 $ 54,146 23.8 % Gross investment in used manufactured home rental units $ 16,464 $ 10,010 $ 6,454 64.5 % Net investment in new manufactured home rental units $ 237,937 $ 188,686 $ 49,251 26.1 % Net investment in used manufactured home rental units $ 13,408 $ 6,513 $ 6,895 105.9 % Number of occupied rentals – new, end of period 1,962 1,816 146 8.0 % Number of occupied rentals – used, end of period 184 189 (5) (2.6) % ______________________ (1) Consists of Site rental income and home rental income. Approximately $6.0 million and $5.2 million of Site rental income is included in MH base rental income in the Core Portfolio Income from Property Operations table for the quarters ended June 30, 2026 and 2025, respectively. The remainder of home rental income is included in rental home income in our Core Portfolio Income from Property Operations table. (2) Presented in Depreciation and amortization in the Consolidated Statements of Income and Comprehensive Income. Rental operations revenues were $1.2 million, or 13.4%, higher during the quarter ended June 30, 2026 compared to the same period in 2025 primarily due to a 8.9% growth in occupancy and a 4.5% growth in rate. 28 Management’s Discussion and Analysis (continued) Other Income and Expenses The following table summarizes Other income and expenses, net: Quarters Ended June 30, (amounts in thousands, expenses shown as negative) 2026 2025 Variance % Change Depreciation and amortization $ (53,637) $ (52,649) $ (988) (1.9) % Interest income 1,580 2,202 (622) (28.2) % Income from other investments, net 5,809 2,084 3,725 178.7 % General and administrative (11,872) (10,455) (1,417) (13.6) % Other expenses (1,209) 59 (1,268) (2,149.2) % Interest and related amortization (33,824) (32,200) (1,624) (5.0) % Total other income and expenses, net $ (93,153) $ (90,959) $ (2,194) (2.4) % Total other income and expenses, net decreased $2.2 million, or 2.4%, for the quarter ended June 30, 2026 compared to the same period in 2025 primarily due to higher Interest and related amortization, Other expenses, and General and administrative, partially offset by an increase in Income from other investments, net. Casualty-related charges/(recoveries), net During the quarter ended June 30, 2025, we recognized expenses of approximately $0.3 million related to debris removal and cleanup costs from hurricane events, with insurance recovery revenue accrual of approximately $0.2 million related to the expenses incurred during the same period. During the quarters ended June 30, 2026 and 2025, we also recognized excess insurance recovery revenue of approximately $7.1 million and $0.6 million, respectively, for reimbursement of capital expenditures related to Hurricane Ian. The debris and cleanup costs and offsetting recovery accrual and reimbursement of capital expenditures are presented in Casualty-related charges/(recoveries), net in the Consolidated Statements of Income and Comprehensive Income. Gain/(Loss) on sale of real estate and impairment, net During the quarter ended June 30, 2026, we recognized an impairment of $0.5 million related to home fixed assets. During the quarter ended June 30, 2025, we recognized an impairment of $0.7 million related to the discontinuation of certain capital projects. Equity in income/(loss) of unconsolidated joint ventures Equity in income/(loss) of unconsolidated joint ventures was $0.7 million higher during the quarter ended June 30, 2026 compared to the same period in 2025 due to higher joint venture income and lower depreciation on joint ventures. 29 Management’s Discussion and Analysis (continued) Comparison of the Six Months Ended June 30, 2026 to the Six Months Ended June 30, 2025 Income from Property Operations The following table summarizes certain financial and statistical data for the Core Portfolio and the total portfolio for the six months ended June 30, 2026 and 2025: Core Portfolio Total Portfolio Six Months Ended June 30, Six Months Ended June 30, (amounts in thousands) 2026 2025 Variance % Change 2026 2025 Variance % Change MH base rental income (1) $ 392,008 $ 370,717 $ 21,291 5.7 % $ 392,460 $ 371,086 $ 21,374 5.8 % Rental home income (1) 7,638 6,911 727 10.5 % 7,691 6,933 758 10.9 % RV and marina base rental income (1) 217,926 217,697 229 0.1 % 231,733 227,688 4,045 1.8 % Annual membership subscriptions 36,590 32,916 3,674 11.2 % 37,118 33,244 3,874 11.7 % Membership upgrade revenue (2)(3) 6,240 6,105 135 2.2 % 6,240 6,172 68 1.1 % Utility and other income (1) 69,211 65,287 3,924 6.0 % 70,322 69,977 345 0.5 % Property operating revenues 729,613 699,633 29,980 4.3 % 745,564 715,100 30,464 4.3 % Utility expense 80,497 77,625 2,872 3.7 % 82,864 79,451 3,413 4.3 % Payroll 59,060 58,409 651 1.1 % 61,376 60,086 1,290 2.1 % Repairs and maintenance 53,637 50,856 2,781 5.5 % 55,274 52,384 2,890 5.5 % Insurance and other (1)(4) 51,941 52,593 (652) (1.2) % 54,394 55,202 (808) (1.5) % Real estate taxes 42,662 42,250 412 1.0 % 43,926 43,488 438 1.0 % Rental home operating and maintenance 2,767 2,446 321 13.1 % 2,781 2,451 330 13.5 % Membership sales and marketing 8,366 7,916 450 5.7 % 8,388 7,993 395 4.9 % Property operating expenses, excluding property management 298,930 292,095 6,835 2.3 % 309,003 301,055 7,948 2.6 % Income from property operations, excluding property management (5) 430,683 407,538 23,145 5.7 % 436,561 414,045 22,516 5.4 % Property management 40,516 41,153 (637) (1.5) % 40,516 41,153 (637) (1.5) % Income from property operations (5) $ 390,167 $ 366,385 $ 23,782 6.5 % $ 396,045 $ 372,892 $ 23,153 6.2 % __________________________ (1) Rental income consists of the following total portfolio income items in this table: 1) MH base rental income, 2) Rental home income, 3) RV and marina base rental income and 4) Utility income, which is calculated by subtracting Other income in the Consolidated Statements of Income and Comprehensive Income from Utility and other income in this table. The difference between the sum of the total portfolio income items and Rental income in the Consolidated Statements of Income and Comprehensive Income is bad debt expense, which is presented in Insurance and other in this table. (2) Membership upgrade product offerings consist of two- to four-year term subscription products, which are recognized in Annual membership subscriptions. Prices for two-year products range between $4,000 to $8,000 and between approximately $7,000 to $14,000 for the four-year product, which results in approximately $2,500 to $3,000 of earned revenue on an annual basis. (3) Membership upgrade revenue is net of deferrals of $0.2 million for the six months ended June 30, 2025. (4) Includes bad debt expense for all periods presented. (5) See Non-GAAP Financial Measures section of the Management’s Discussion and Analysis for definitions and reconciliations of these Non-GAAP measures to Net Income available for Common Stockholders. Total Portfolio income from property operations for the six months ended June 30, 2026 increased $23.2 million, or 6.2%, from the same period in 2025 driven by an increase of $23.8 million, or 6.5%, from our Core Portfolio, offset by a decrease of $0.6 million from our Non-Core Portfolio. Property Operating Revenues MH base rental income in our Core Portfolio for the six months ended June 30, 2026 increased $21.3 million, or 5.7%, from the same period in 2025, which reflects 5.9% growth from rate increases and a decline in occupancy of 0.2%. Th e average monthly MH base rental income per Site in our Core Portfolio increased to approximately $952 for the six months ended June 30, 2026 from approximately $899 for the six months ended June 30, 2025. Average occupancy for the Core Portfolio was 93.8% and 94.4% for the six months ended June 30, 2026 and 2025, respectively. 30 Management’s Discussion and Analysis (continued) RV and marina base rental income is comprised of the following: Core Portfolio Total Portfolio Six Months Ended June 30, Six Months Ended June 30, (amounts in thousands) 2026 2025 Variance % Change 2026 2025 Variance % Change Annual $ 161,101 $ 153,673 $ 7,428 4.8 % $ 166,795 $ 158,176 $ 8,619 5.4 % Seasonal 29,212 33,992 (4,780) (14.1) % 32,198 36,328 (4,130) (11.4) % Transient 27,613 30,032 (2,419) (8.1) % 32,740 33,184 (444) (1.3) % RV and marina base rental income $ 217,926 $ 217,697 $ 229 0.1 % $ 231,733 $ 227,688 $ 4,045 1.8 % RV and marina base rental income in our Core Portfolio for the six months ended June 30, 2026 increased $0.2 million, or 0.1%, from the same period in 2025 due to an increase in Annual RV and marina base rental income of 4.8%, partially offset by decreases in Seasonal and Transient RV and marina base rental income of 14.1% and 8.1%, r espec tively. The increase in Core Annual RV and marina base rental income was driven by an increase in rate of 5.2%. The decreases in Seasonal and Transient RV and marina base rental income were primarily due to lower occupancy in the South and Central regions. Utility and other i ncome in our Core Portfolio for the six months ended June 30, 2026 increased $3.9 million, or 6.0%, from the same period in 2025. T he increase was primarily due to an increase in utility income and pass-through income of $3.2 million and $0.7 million, respectively. The increase in utility income was driven by higher expenses driving additional recovery primarily in water, sewer and trash, and the increase in pass-through income was primarily driven by increases in real estate tax pass-throughs to customers in Florida. The utility recovery rate (utility income divided by utility expenses) for the six months ended June 30, 2026 and 2025 was approximately 50.4% and 48.2%, respectively. Property Operating Expenses Property operating expenses, excluding property management, in our Core Portfolio for the six months ended June 30, 2026 increased $6.8 million, or 2.3%, from the same period in 2025 driven by increases in Utility expense of $2.9 million, Repairs and maintenance of $2.8 million and Real estate taxes of $0.4 million, partially offset by a decrease in Insurance and other expenses of $0.7 million. The increase in Utility expense was due to increases in sewer, water and trash expenses, partially offset by decreases in gas and cable expenses. The increase in Repair and maintenance expense was driven by increases in extraordinary repairs and maintenance as a result of adverse weather events, lawn and common area maintenance, contract repairs, pool and maintenance and housekeeping supplies expenses, partially offset by a decrease in security guard expenses. The increase in Real estate taxes was primarily due to an increase in our Florida, Kentucky, Ohio and Wisconsin portfolios, partially offset by lower real estate tax assessments in our Texas portfolio. The decrease in Insurance and other expenses was due to a decrease in insurance expense as a result of our property and casualty renewal on April 1, 2026, partially offset by an increase in administrative and rental home expenses. Home Sales and Other The following table summarizes certain financial and statistical data for our Home Sales and Other Operations: Six Months Ended June 30, (amounts in thousands, except home sales volumes) 2026 2025 Variance % Change Gross revenues from new home sales $ 16,736 $ 18,873 $ (2,137) (11.3) % Cost of new home sales 16,556 17,490 (934) (5.3) % Gross revenues from used home sales 1,526 1,535 (9) (0.6) % Cost of used home sales 2,681 1,762 919 52.2 % Gross revenues from brokered resales and ancillary services 23,639 23,313 326 1.4 % Cost of brokered resales and ancillary services 11,266 10,916 350 3.2 % Home selling and ancillary operating expenses 14,441 13,156 1,285 9.8 % Home sales volumes New home sales 185 234 (49) (20.9) % Used home sales 279 142 137 96.5 % Brokered home resales 256 224 32 14.3 % 31 Management’s Discussion and Analysis (continued) Gross revenues from new home sales decreased $2.1 million and Cost of new home sales decreased $0.9 million during the six months ended June 30, 2026 com pared to the same period in 2025 as a result of a change in overall sales mix, resulting in a higher percentage of lower p riced homes being sold during the six months ended June 30, 2026 as compared to the same period in 2025. Rental Operations The following table summarizes certain financial and statistical data for our MH Rental Operations: Six Months Ended June 30, (amounts in thousands, except rental unit volumes) 2026 2025 Variance % Change Rental operations revenue (1) $ 19,641 $ 17,143 $ 2,498 14.6 % Rental home operating and maintenance 2,767 2,446 321 13.1 % Depreciation on rental homes (2) 5,441 5,123 318 6.2 % Gross investment in new manufactured home rental units $ 281,885 $ 227,739 $ 54,146 23.8 % Gross investment in used manufactured home rental units $ 16,464 $ 10,010 $ 6,454 64.5 % Net investment in new manufactured home rental units $ 237,937 $ 188,686 $ 49,251 26.1 % Net investment in used manufactured home rental units $ 13,408 $ 6,513 $ 6,895 105.9 % Number of occupied rentals – new, end of period 1,962 1,816 146 8.0 % Number of occupied rentals – used, end of period 184 189 (5) (2.6) % ______________________ (1) Consists of Site rental income and home rental income in our Core Portfolio. Approximately $12.0 million and $10.2 million of Site rental income for the six months ended June 30, 2026 and 2025, respectively, are included in MH base rental income within the Core Portfolio Income from Property Operations table. The remainder of home rental income is included in rental home income in our Core Portfolio Income from Property Operations table. (2) Presented in Depreciation and amortization in the Consolidated Statements of Income and Comprehensive Income. Rental operations revenues were $2.5 million, or 14.6%, higher during the six months ended June 30, 2026 compared to the same period in 2025 primarily due to a 10.5% growth in occupancy and a 4.1% growth in rate. Other Income and Expenses The following table summarizes Other income and expenses, net: Six Months Ended June 30, (amounts in thousands, expenses shown as negative) 2026 2025 Variance % Change Depreciation and amortization $ (106,773) $ (103,591) $ (3,182) (3.1) % Interest income 3,771 4,440 (669) (15.1) % Income from other investments, net 7,583 4,102 3,481 84.9 % General and administrative (22,973) (19,694) (3,279) (16.6) % Other expenses (2,442) (1,819) (623) (34.2) % Interest and related amortization (67,469) (63,336) (4,133) (6.5) % Total other income and expenses, net $ (188,303) $ (179,898) $ (8,405) (4.7) % Total other income and expenses, net decreased $8.4 million during the six months ended June 30, 2026 compared to the same period in 2025 primarily due to higher Interest and related amortization, Depreciation and amortization, General and administrative expenses and Other expenses and lower Interest Income, partially offset by higher Income from other investments, net. Casualty-related charges/(recoveries), net During the six months ended June 30, 2025, we recognized expenses of approximately $1.1 million related to debris removal and cleanup costs from hurricane events, with an insurance recovery revenue accrual of $0.8 million related to the expenses incurred during the same periods. During the six months ended June 30, 2026 and 2025, we also recognized insurance recovery revenue in excess of expenses for Hurricane Ian of $7.1 million and $0.6 million, respectively, within Casualty-related charges/(recoveries), net. The debris and cleanup costs and offsetting recovery accrual and reimbursement of capital expenditures are presented in Casualty-related charges/(recoveries), net in the Consolidated Statements of Income and Comprehensive Income. 32 Management’s Discussion and Analysis (continued) Gain/(Loss) on sale of real estate and impairment, net During the six months ended June 30, 2026, we recognized an impairment of $0.5 million related to home fixed assets. During the six months ended June 30, 2025, we recognized an impairment of $0.7 million related to the discontinuation of certain capital projects. Equity in income/(loss) of unconsolidated joint ventures Equity in income/(loss) of unconsolidated joint ventures was $5.1 million lower during the six months ended June 30, 2026 compared to the same period in 2025 primarily due to a distribution from an unconsolidated joint venture that refinanced a secured loan and distributed proceeds in 2025. 33 Management’s Discussion and Analysis (continued) Liquidity and Capital Resources Liquidity Our primary demands for liquidity include payment of operating expenses, dividend distributions, debt service, including principal and interest, capital improvements on Properties, home purchases and property acquisitions. We expect similar demand for liquidity will continue for the short-term and long-term. Our primary sources of cash include operating cash flows, proceeds from financings, borrowings under our unsecured Line of Credit (“LOC”) and proceeds from issuance of equity and debt securities, including issuances under our at-the-market (“ATM”) equity offering program. One of our stated objectives is to maintain financial flexibility. Achieving this objective allows us to take advantage of strategic opportunities that may arise. When investing capital, we consider all potential uses, including returning capital to our stockholders or the conditions under which we may repurchase our stock. These conditions include, but are not limited to, market price, balance sheet flexibility, alternative opportunistic capital uses and capital requirements. We believe effective management of our balance sheet, including maintaining various access points to raise capital, managing future debt maturities and borrowing at competitive rates, enables us to meet this objective. Accessing long-term, low-cost secured debt continues to be our focus. As of June 30, 2026 and December 31, 2025, secured debt encumbered a total of 112 of our Properties, and the gross carrying value of such Properties was approximately $3,304.6 million and $3,266.6 million, respectively. On November 1, 2024, we entered into our current ATM equity offering program with certain sales agents, pursuant to which we may sell, from time-to-time, shares of our common stock, par value $0.01 per share, having an aggregate offering price of up to $700.0 million. As of June 30, 2026, the full capacity of our current ATM equity offering program remained available for issuance. As of June 30, 2026, we had available liquidity in the form of approximately 406.0 million shares of authorized and unissued common stock, par value $0.01 per share, and 10.0 million shares of authorized and unissued preferred stock registered for sale under the Securities Act of 1933, as amended. We also utilize interest rate swaps to add stability to our interest expense and to manage our exposure to interest rate movements. Interest rate swaps designated as cash flow hedges involve the receipt of variable amounts from a counterparty in exchange for making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. The changes in the fair value of the designated derivative are recorded in Accumulated other comprehensive income/(loss) on the Consolidated Balance Sheets and subsequently reclassified into earnings in the Consolidated Statements of Income and Comprehensive Income in the period that the hedged forecasted transaction affects earnings. For additional information regarding our interest rate swaps, see Part I. Item 1. Financial Statements—Note 8. Derivative Instruments and Hedging Activities . We expect to meet our short-term liquidity requirements, including principal payments, capital improvements and dividend distributions for the next twelve months, generally through available cash, net cash provided by operating activities, issuances of equity under our ATM equity offering program and our LOC. As of June 30, 2026, our LOC had a remaining borrowing capacity of $372.4 million with the option to increase the borrowing capacity by $200.0 million, subject to certain conditions. The LOC bears interest at a rate of SOFR plus 0.10% plus 1.25% to 1.65% and requires an annual facility fee of 0.20% to 0.35%. We expect to meet certain long-term liquidity requirements, such as scheduled debt maturities, property acquisitions and capital improvements, using long-term collateralized and uncollateralized borrowings, including the existing LOC and the issuance of debt securities or the issuance of equity including under our ATM equity offering program. The following table summarizes our cash flows activity: For the six months ended June 30, (amounts in thousands) 2026 2025 Net cash provided by operating activities $ 342,170 $ 324,677 Net cash used in investing activities (108,968) (156,873) Net cash used in financing activities (223,705) (159,372) Net increase (decrease) in cash and restricted cash $ 9,497 $ 8,432 34 Management’s Discussion and Analysis (continued) Operating Activities Net cash provided by operating activities increased $17.5 million to $342.2 million for the six months ended June 30, 2026 from $324.7 million for the six months ended June 30, 2025. The increase in net cash provided by operating activities was primarily due to an increase in accounts payable and other liabilities and an increase in net income, partially offset by an increase in cash outflows related to manufactured homes, net and other assets, net. The following table summarizes our purchase and sale activity of manufactured homes: For the six months ended June 30, (amounts in thousands) 2026 2025 Purchase of manufactured homes $ (46,945) $ (33,655) Sale of manufactured homes 16,402 16,600 Manufactured homes, net $ (30,543) $ (17,055) Investing Activities Net cash used in investing activities decreased $47.9 million to $109.0 million for the six months ended June 30, 2026 from $156.9 million for the six months ended June 30, 2025. The decrease was primarily driven by a decrease in issuance of notes receivable and a decrease in distributions of capital from unconsolidated joint ventures. Capital Improvements The following table summarizes capital improvements: For the six months ended June 30, (amounts in thousands) 2026 2025 Asset preservation (1) $ 25,146 $ 22,262 Improvements and renovations (2) 19,734 16,336 Property upgrades and development (3) 46,066 57,005 Site development (4) 12,904 5,146 Total property improvements 103,850 100,749 Corporate 5,609 3,910 Total capital improvements $ 109,459 $ 104,659 ______________________ (1) Includes upkeep of property infrastructure including utilities and streets and replacement of community equipment and vehicles. (2) Includes enhancements to amenities such as buildings, common areas, swimming pools and replacement of furniture and site amenities. (3) Includes $8.6 million and $13.9 million of restoration and improvement capital expenditures related to hurricane events for the six months ended June 30, 2026 and 2025, respectively. (4) Includes capital expenditures to improve the infrastructure required to set manufactured homes. Financing Activities Net cash used in financing activities increased $64.3 million to $223.7 million for the six months ended June 30, 2026 from $159.4 million for the six months ended June 30, 2025. The increase was primarily due to an increase in distributions to common stockholders and OP unit holders of $13.1 million and decrease in term loan proceeds of $150.0 million, partially offset by a decrease in cash outflows related to principal payments and mortgage debt repayment of $86.3 million, an increase in net line of credit borrowings of $9.5 million and a decrease in cash outflows related to debt issuance and defeasance costs of $2.5 million. Contractual Obligations Significant ongoing contractual obligations consist primarily of long-term borrowings, interest expense, operating leases, LOC maintenance fees and ground leases. For a summary and complete presentation and description of our ongoing commitments and contractual obligations, see Part II. Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations—Contractual Obligations in our 2025 Form 10-K. 35 Management’s Discussion and Analysis (continued) Off-Balance Sheet Arrangements As of June 30, 2026, we have no off-balance sheet arrangements. Critical Accounting Policies and Estimates Refer to Part II. Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations in our 2025 Form 10-K for a discussion of our critical accounting policies. There have been no significant changes to our critical accounting policies and estimates during the quarter ended June 30, 2026. Forward-Looking Statements This Quarterly Report on Form 10-Q includes certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. When used, words such as “anticipate,” “expect,” “believe,” “project,” “estimate,” “intend,” “may be” and “will be” and similar words or phrases, or the negative thereof, unless the context requires otherwise, are intended to identify forward-looking statements and may include, without limitation, information regarding our expectations, goals or intentions regarding the future, and the expected effect of our acquisitions. These forward-looking statements are subject to numerous assumptions, risks and uncertainties that could cause actual results or outcomes to differ materially from those expressed in a forward-looking statement due to a number of factors, including, but not limited to: • our ability to control costs , and real estate market conditions, our ability to retain customers, the actual use of Sites by customers and our success in acquiring new customers at our Properties (including those that we may acquire); • our ability to maintain historical or increase future rental rates and occupancy with respect to properties currently owned or that we may acquire; • our ability to attract and retain customers entering, renewing and upgrading membership subscriptions; • our assumptions about rental and home sales markets; • our ability to manage counterparty risk; • our ability to renew our insurance policies at existing rates and on consistent terms; • home sales results could be impacted by the ability of potential homebuyers to sell their existing residences as well as by financial, credit and capital markets volatility; • results from home sales and occupancy will continue to be impacted by local economic conditions, including an adequate supply of homes at reasonable costs, lack of affordable manufactured home financing and competition from alternative housing options including site-built single-family housing; • impact of government intervention to stabilize site-built single-family housing and not manufactured housing; • impact of public health crises, such as highly infectious or contagious diseases on our business operations, our residents, our customers, our employees and the economy generally; • effective integration of recent acquisitions and our estimates regarding the future performance of recent acquisitions; • our ability to execute expansion/development opportunities in the face of changes impacting the supply chain or labor markets; • the completion of future transactions in their entirety, if any, and timing and effective integration with respect thereto; • unanticipated costs or unforeseen liabilities associated with recent acquisitions; • the effect of potential damage from natural disasters, including hurricanes and other weather-related events, which could result in substantial costs to our business; • our ability to obtain financing or refinance existing debt on favorable terms or at all; • the effect of inflation and interest rates, including the impact of changes in tariffs, as well as costs associated with supply chain disruptions; • the effect from any breach of our, or any of our vendors’, data management systems; • the dilutive effects of issuing additional securities; • the potential impact of material weaknesses, if any, in our internal control over financial reporting; • the outcome of pending or future lawsuits or actions brought by or against us, including those disclosed in our filings with the Securities and Exchange Commission; and • other risks indicated from time to time in our filings with the Securities and Exchange Commission. For further information on these and other factors that could impact us and the statements contained herein, refer to Part I. Item 1A. Risk Factors in the 2025 Form 10-K and Part II. Item 1A. Risk Factors herein . These forward-looking statements are based on management’s present expectations and beliefs about future events. As with any projection or forecast, these statements are inherently susceptible to uncertainty and changes in circumstances. We are under no obligation to, and expressly disclaim any obligation to, update or alter our forward-looking statements whether as a result of such changes, new information, subsequent events or otherwise. 36 Item 3. Quantitative and Qualitative Disclosures About Market Risk We disclosed a quantitative and qualitative analysis regarding market risk in Part II, Item 7A. Quantitative and Qualitative Disclosures About Market Risk in our 2025 Form 10-K. There have been no material changes in the assumptions used or results obtained regarding market risk since December 31, 2025.