What changed in this filing

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Item 1. Financial Statements

2026-07-23 compared with 2026-04-23 · 128 added, 78 removed, 390 unchanged (35% of the section changed)

7 unchanged sentences

Cash and cash equivalents $ 502,688 $ 497,049

Accounts receivable and unbilled, net (includes $ 3.1 million and $ 3.5 million with related parties at March 31, 2026 and December 31, 2025, respectively)

Accounts receivable and unbilled, net (includes $ 2.9 million and $ 3.5 million with related parties at June 30, 2026 and December 31, 2025, respectively)

441,797 402,078

10 unchanged sentences

Current liabilities:

Accounts payable (includes $ 0.2 million and $ 0.3 million with related parties at March 31, 2026 and December 31, 2025, respectively)

Accounts payable (includes $ 0.1 million and $ 0.3 million with related parties at June 30, 2026 and December 31, 2025, respectively)

$ 37,527 $ 28,142

Accrued expenses 451,076 408,382

Advanced billings (includes $ 13.7 million and $ 12.3 million with related parties at March 31, 2026 and December 31, 2025, respectively)

Advanced billings (includes $ 13.1 million and $ 12.3 million with related parties at June 30, 2026 and December 31, 2025, respectively)

904,722 854,390

9 unchanged sentences

5,000,000 shares authorized;

no shares issued and outstanding at March 31, 2026 and December 31, 2025

no shares issued and outstanding at June 30, 2026 and December 31, 2025

Common stock - $ 0.01 par-value;

250,000,000 shares authorized at March 31, 2026 and December 31, 2025;

28,559,689 and 28,370,780 shares issued and outstanding at March 31, 2026 and December 31, 2025, respectively

Treasury stock - 69,623 shares at March 31, 2026 and December 31, 2025

250,000,000 shares authorized at June 30, 2026 and December 31, 2025;

27,910,605 and 28,370,780 shares issued and outstanding at June 30, 2026 and December 31, 2025, respectively

Treasury stock - 69,593 and 69,623 shares at June 30, 2026 and December 31, 2025, respectively

( 12,151 ) ( 12,156 )

9 unchanged sentences

(Amounts in thousands, except per share amounts) Three Months Ended

Revenue, net (includes $ 7.3 million and $ 13.8 million with related parties for the three months ended March 31, 2026 and 2025, respectively)

June 30, Six Months Ended

2026 2025 2026 2025

Revenue, net (includes $ 4.7 million and $ 16.9 million with related parties for the three months ended June 30, 2026 and 2025, respectively, and $ 12.0 million and $ 30.7 million with related parties for the six months ended June 30, 2026 and 2025, respectively)

$ 707,331 $ 603,311 $ 1,413,935 $ 1,161,881

Operating expenses:

7 unchanged sentences

Income from operations 146,824 126,335 288,327 239,858

Other income, net:

Miscellaneous income (expense), net 971 ( 1,816 )

Other income (expense), net:

Miscellaneous (expense) income, net ( 147 ) ( 2,875 ) 824 ( 4,691 )

Interest income, net 4,986 1,078 10,103 7,541

Total other income, net 6,088 4,647

Total other income (expense), net 4,839 ( 1,797 ) 10,927 2,850

Income before income taxes 151,663 124,538 299,254 242,708

12 unchanged sentences

(Amounts in thousands) Three Months Ended

June 30, Six Months Ended

2026 2025 2026 2025

Net income $ 121,362 $ 90,260 $ 245,232 $ 204,855

Other comprehensive (loss) income

Other comprehensive income (loss)

Foreign currency translation adjustments, net of taxes 39 5,967 ( 2,176 ) 9,089

15 unchanged sentences

BALANCE — March 31, 2025 $ 298 $ ( 12,235 ) $ 886,883 $ ( 269,716 ) $ ( 11,621 ) $ 593,609

Net income 90,260 90,260

Foreign currency translation 5,967 5,967

Stock-based compensation expense 5,951 5,951

Stock options exercised 340 340

Repurchases of common stock ( 17 ) ( 523,759 ) ( 523,776 )

BALANCE — June 30, 2025 $ 281 $ ( 12,235 ) $ 893,174 $ ( 703,215 ) $ ( 5,654 ) $ 172,351

Treasury Stock

Capital Retained Earnings (Accumulated Deficit) Accumulated

Capital Accumulated Deficit Accumulated

Comprehensive

5 unchanged sentences

BALANCE — March 31, 2026 $ 286 $ ( 12,156 ) $ 953,416 $ ( 336,111 ) $ ( 7,121 ) $ 598,314

Net income 121,362 121,362

Foreign currency translation 39 39

Stock-based compensation expense 4,348 4,348

Stock options exercised 5 6,419 6,424

Repurchases of common stock ( 7 ) ( 296,619 ) ( 296,626 )

BALANCE — June 30, 2026 $ 279 $ ( 12,151 ) $ 964,183 $ ( 511,368 ) $ ( 7,082 ) $ 433,861

See notes to condensed consolidated financial statements.

2 unchanged sentences

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)

(Amounts in thousands) Three Months Ended

(Amounts in thousands) Six Months Ended

CASH FLOWS FROM OPERATING ACTIVITIES:

22 unchanged sentences

Repurchases of common stock ( 294,764 ) ( 912,815 )

Net cash provided by (used in) financing activities 12,670 ( 345,966 )

Net cash used in financing activities ( 275,670 ) ( 886,530 )

EFFECT OF EXCHANGE RATES ON CASH, CASH EQUIVALENTS, AND

3 unchanged sentences

CASH, CASH EQUIVALENTS, AND RESTRICTED CASH — End of period $ 502,688 $ 46,330

SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION —

Share repurchases—non-cash $ — $ 22,343

See notes to condensed consolidated financial statements.

2 unchanged sentences

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

March 31, 2026

June 30, 2026

(1) Basis of Presentation

15 unchanged sentences

In 2022, the Company’s Board of Directors (the “Board”) approved a share repurchase program which has been amended several times to increase the aggregate amount of the share repurchase authorization.

The Company did not execute any share repurchases during the three months ended March 31, 2026.

During the three months ended March 31, 2025, the Company repurchased 1,193,011 shares for $ 389.8 million.

As of March 31, 2026, the Company has remaining authorization of $ 821.7 million under the repurchase program.

During the three and six months ended June 30, 2026, the Company repurchased 705,616 shares for $ 294.7 million.

During the three and six months ended June 30, 2025, the Company repurchased 1,754,264 shares and 2,947,275 shares for $ 518.5 million and $ 908.4 million, respectively.

As of June 30, 2026, the Company has remaining authorization of $ 527.0 million under the repurchase program.

Repurchases under the share repurchase program are executed in the open market or negotiated transactions under trading plans put in place pursuant to Rule 10b5-1.

8 unchanged sentences

Targeted Improvements to the Accounting for Internal-Use Software” to modernize the accounting for software development costs and specify disclosure requirements.

The guidance is effective for annual periods beginning after December 15, 2027, and interim reporting periods within those annual reporting periods, with early adoption permitted as

of the beginning of an annual reporting period.

The guidance is effective for annual periods beginning after

December 15, 2027, and interim reporting periods within those annual reporting periods, with early adoption permitted as of the beginning of an annual reporting period.

The Company is currently evaluating the effect this standard will have on its consolidated financial statements and related disclosures.

9 unchanged sentences

The Company does not compute diluted EPS in cases where the inclusion of such additional shares would be anti-dilutive in effect.

The following table sets forth the computation of basic and diluted earnings per share for the three months ended March 31, 2026 and 2025 (in thousands, except for earnings per share):

The following table sets forth the computation of basic and diluted earnings per share for the three and six months ended June 30, 2026 and 2025 (in thousands, except for earnings per share):

Three Months Ended

June 30, Six Months Ended

2026 2025 2026 2025

Net income available to common shareholders $ 121,362 $ 90,260 $ 245,232 $ 204,855

5 unchanged sentences

Net income per common share—Diluted $ 4.25 $ 3.10 $ 8.53 $ 6.79

For the three months ended March 31, 2026 and 2025, the computation of diluted EPS excludes the effect of (in thousands) 0.5 and 80.1 stock options, respectively, due to each respective period’s average fair value of the Company’s common stock not exceeding the exercise prices.

For the three and six months ended June 30, 2026, the computation of diluted EPS excludes the effect of (in thousands) 0.5 stock options due to each respective period’s average fair value of the Company’s common stock not exceeding the exercise prices.

For the three and six months ended June 30, 2025, the computation of diluted EPS excludes the effect of (in thousands) 205.3 and 198.0 stock options, respectively, due to each respective period’s average fair value of the Company’s common stock not exceeding the exercise prices.

(3) Fair Value Measurements

The Company follows accounting guidance related to fair value measurements that defines fair value, establishes a framework for measuring fair value, and establishes a hierarchy for inputs used in measuring fair value.

This hierarchy maximizes the use of “observable” inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available.

This hierarchy

maximizes the use of “observable” inputs and minimizes the use of unobservable inputs by requiring that the most observable inputs be used when available.

The hierarchy specifies three levels based on the inputs, as follows:

3 unchanged sentences

The fair value of financial instruments such as cash and cash equivalents, accounts receivable and unbilled, net, accounts payable, accrued expenses and advanced billings approximate their carrying amounts due to their short term maturities.

The Company does not have material recurring fair value measurements as of March 31, 2026 and December 31, 2025.

There were no material transfers between Level 1, Level 2 or Level 3 during the three months ended March 31, 2026 and 2025.

The Company does not have material recurring fair value measurements as of June 30, 2026 and December 31, 2025.

There were no material transfers between Level 1, Level 2 or Level 3 during the three and six months ended June 30, 2026 and 2025.

(4) Contract Assets and Contract Liabilities

16 unchanged sentences

Advanced billings $ 904,722 $ 854,390

As of March 31, 2026 and December 31, 2025, the Company had approximately $ 3.5 billion and $ 3.6 billion of performance obligations remaining to be performed for active projects.

As of June 30, 2026 and December 31, 2025, the Company had approximately $ 3.5 billion and $ 3.6 billion of performance obligations remaining to be performed for active projects.

(5) Intangible Assets, Net

10 unchanged sentences

Total intangible assets, net $ 33,110 $ 33,420

As of March 31, 2026, estimated amortization expense of the Company’s intangible assets for each of the remaining years is as follows (in thousands):

As of June 30, 2026, estimated amortization expense of the Company’s intangible assets for each of the remaining years is as follows (in thousands):

Remainder of 2026

11 unchanged sentences

The Credit Facility expires April 30, 2027 and bears interest at a rate of the sum of The Secured Overnight Financing Rate (SOFR) plus 100 basis points ( 1.00 %) or the highest of the Prime Rate, the sum of the Overnight Bank Funding Rate plus 50 basis points ( 0.50 %) and the sum of Daily Simple SOFR plus 100 basis points ( 1.00 %).

As of March 31, 2026 and December 31, 2025, the Company had no indebtedness under the Credit Facility.

As of June 30, 2026 and December 31, 2025, the Company had no indebtedness under the Credit Facility.

The Loan Agreement contains other customary loan terms, representations and warranties, and affirmative and negative covenants, in each case, subject to customary limitations, exceptions and exclusions.

6 unchanged sentences

The components of lease expense were as follows (in thousands):

Three Months Ended March 31,

Three Months Ended June 30, Six Months Ended June 30,

2026 2025 2026 2025

Operating lease cost $ 8,041 $ 7,688 $ 15,783 $ 15,753

1 unchanged sentence

Supplemental cash flow information related to the leases was as follows (in thousands):

Three Months Ended March 31,

Six Months Ended June 30,

Cash paid for amounts included in the measurement of lease liabilities:

18 unchanged sentences

Operating leases 5.7 % 5.7 %

Lease payments due related to lease liabilities as of March 31, 2026 were as follows (in thousands):

Lease payments due related to lease liabilities as of June 30, 2026 were as follows (in thousands):

Related Party

14 unchanged sentences

(9) Shareholders’ Equity and Stock-Based Compensation

The Company granted 3,836 awards to employees under the 2016 Amended and Restated Incentive Award Plan during the three months ended March 31, 2026, consisting of 3,636 RSU and 200 stock options having five year vesting schedules.

The Company granted 205,770 awards to employees under the 2016 Amended and Restated Incentive Award Plan during the six months ended June 30, 2026, consisting of 104,350 RSU and 56,420 stock options having five year vesting schedules and 15,000 RSU and 30,000 stock options having two year vesting schedules.

The Company granted an additional 6,660 stock option awards to non-employee directors under the 2016 Amended and Restated Incentive Award Plan during the six months ended June 30, 2026.

These awards are scheduled to vest on the earlier of (a) the day immediately preceding the date of the first annual meeting following the date of grant and (b) the first anniversary of the date of grant, subject to the non-employee director continuing in service through the applicable vesting date.

Award Activity

The following table sets forth the Company’s stock option activity:

Three Months Ended March 31, 2026

Six Months Ended June 30, 2026

Stock Options Weighted Average

3 unchanged sentences

Exercised ( 136,377 ) $ 141.02

Cancelled/Forfeited/Expired ( 10,857 ) $ 329.77

Outstanding - end of period 564,527 $ 259.14

1 unchanged sentence

The following table sets forth the Company’s RSA/RSU activity:

Three Months Ended

March 31, 2026

Six Months Ended

June 30, 2026

Outstanding and unvested - beginning of period 324,517

4 unchanged sentences

Stock-based compensation expense recognized in the condensed consolidated statements of operations related to all outstanding stock-based compensation awards is summarized below (in thousands):

Three Months Ended March 31,

Three Months Ended June 30, Six Months Ended June 30,

2026 2025 2026 2025

Total direct costs $ 2,814 $ 3,420 $ 5,815 $ 6,447

2 unchanged sentences

(10) Income Taxes

The Company’s effective income tax rate was 16.1 % and 3.0 % for the three months ended March 31, 2026 and 2025, respectively.

The Company's effective income tax rate for the three months ended March 31, 2026 varied from the U.S.

statutory rate of 21 % primarily due to the impact of the state taxes, which was favorably offset by excess tax benefits recognized from share-based compensation and tax benefits related to Foreign Derived Deduction Eligible Income.

The Company’s effective income tax rate was 20.0 % and 27.5 % for the three months ended June 30, 2026 and 2025, respectively.

The Company's effective income tax rate was 18.1 % and 15.6 % for the six months ended June 30, 2026 and 2025, respectively.

The Company’s effective income tax rate for the three months ended June 30, 2026 varied from the U.S.

statutory rate of 21 % primarily due to the impact of the state taxes which was favorably offset by excess tax benefits recognized from share-based compensation, tax benefits related to Foreign Derived Deduction Eligible Income and benefits from uncertain tax positions.

The Company’s effective income tax rate for the six months ended June 30, 2026 varied from the U.S.

statutory rate of 21 % due to the impact of state taxes, which was favorably offset by excess tax benefits recognized from share-based compensation and tax benefits related to Foreign Derived Deduction Eligible Income.

On July 4, 2025, the One Big Beautiful Bill Act (“OBBBA”) was enacted in the U.S.

The OBBBA includes significant provisions, such as the permanent extension of certain expiring provisions of the Tax Cuts and Jobs Act, modifications to the international tax framework and the restoration of favorable tax treatment for certain business provisions.

Where relevant, the Company has reflected any material items that were enacted in the condensed consolidated financial statements for the three months ended March 31, 2026.

Where relevant, the Company has reflected any material items that were enacted in the condensed consolidated financial statements for the three and six months ended June 30, 2026.

(11) Commitments and Contingencies

1 unchanged sentence

The Company is involved in legal proceedings from time to time in the ordinary course of its business, including employment claims and claims related to other business transactions.

The Company cannot predict with certainty the outcome of such proceedings, but it believes that adequate reserves have been recorded and losses already recognized with respect to such proceedings, which were immaterial as of March 31, 2026 and December 31, 2025.

There is a reasonable possibility that a loss exceeding amounts already recognized may be incurred related to these actions;

however, the Company believes that such potential losses were immaterial as of March 31, 2026.

however, the Company believes that such potential losses were immaterial as of June 30, 2026.

On April 6, 2026, Jan Durbin filed a class action complaint in the United States District Court for the Southern District of Ohio (Case No.

2 unchanged sentences

Geiger, and Kevin M.

Brady alleging violations of federal securities laws.

Plaintiff alleges that defendants made materially false and misleading statements related to the Company’s book-to-bill ratio in a scheme to deceive the market based upon Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated under Section 10(b).

Brady alleging violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 (“Exchange Act”) and Rule 10b-5 promulgated under Section 10(b).

Plaintiff alleges that defendants made materially false and misleading statements related to the Company’s book-to-bill ratio to deceive the market in violation of the Exchange Act.

Plaintiff seeks unspecified damages, interest, attorneys’ fees, expert fees and other costs.

A liability has not been recognized related to this matter because any potential loss is not currently probable or reasonably estimable.

On June 22, 2026, Stephen Bushansky filed a complaint in the United States District Court for the Southern District of Ohio (Case No.

1:26-cv-617) purporting to bring a stockholder derivative action on behalf of the Company against the Company and certain of its current and past officers and directors, namely August J.

Troendle, Jesse J.

Geiger, Kevin M.

Brady, Susan E.

Burwig, Stephen P.

Ewald, Brian T.

Carley, Fred B.

Davenport, Jr., Femida H.

Gwadry-Sridhar, Robert O.

Kraft, Cornelius P.

“Neal” McCarthy III, and Dani Zander in connection with the Company’s statements related to its book-to-bill ratio.

Plaintiff alleges that the director defendants violated Section 14(a) of the Exchange Act and Rule 14a-9 thereunder and are also liable under Section 21D of the Exchange Act which governs the application of any private right of action for contribution asserted pursuant to the federal securities laws.

Plaintiff also alleges claims under state law, asserting that defendants breached fiduciary duties, aided and abetted breaches of fiduciary duties and were unjustly enriched.

Plaintiff seeks unspecified damages, restitution, disgorgement of profits and other relief.

A liability has not been recognized related to this matter because any potential loss is not currently probable or reasonably estimable.

Purchase Commitments

The Company has several minimum purchase commitments for project related supplies totaling $ 18.7 million as of March 31, 2026.

The Company has several minimum purchase commitments for project related supplies and support services totaling $ 29.4 million as of June 30, 2026.

In return for the commitment, Medpace receives preferential pricing.

3 unchanged sentences

The Company periodically extends short term loans or advances to employees, typically upon commencement of employment.

Total receivables as a result of these employee advances of $ 0.4 million existed at March 31, 2026 and December 31, 2025, and are included in the Prepaid expenses and other current assets and Other assets line items of the condensed consolidated balance sheets, respectively, depending on the contractual repayment date.

Total receivables as a result of these employee advances of $ 0.4 million existed at June 30, 2026 and December 31, 2025, and are included in the Prepaid expenses and other current assets and Other assets line items of the condensed consolidated balance sheets, respectively, depending on the contractual repayment date.

Service Agreement

1 unchanged sentence

Certain executives and employees of the Company, including the chief executive officer, are members of LIB’s board of managers.

The Company entered into a MSA dated November 24, 2015 with LIB, a company that engages in research,

development, marketing and commercialization of pharmaceutical drugs.

The Company entered into a MSA dated November 24, 2015 with LIB, a company that engages in research, development, marketing and commercialization of pharmaceutical drugs.

Subsequently, the Company and LIB have entered into several task orders for the Company to perform clinical trial related services.

The Company recognized total revenue from LIB of $ 1.2 million and $ 2.2 million during the three months ended March 31, 2026 and 2025, respectively, in the Company’s condensed consolidated statements of operations.

As of March 31, 2026 and December 31, 2025 the Company had Advanced billings from LIB of $ 8.1 million in the condensed consolidated balance sheets.

As of March 31, 2026 and December 31, 2025 the Company had Accounts receivable and unbilled, net from LIB of $ 1.5 million and $ 1.9 million, respectively, in the condensed consolidated balance sheets.

The Company recognized total revenue from LIB of $ 1.2 million and $ 1.7 million during the three months ended June 30, 2026 and 2025, respectively, and $ 2.4 million and $ 3.9 million during the six months ended June 30, 2026 and 2025, respectively, in the Company’s condensed consolidated statements of operations.

As of June 30, 2026 and December 31, 2025, the Company had Advanced billings from LIB of $ 7.9 million and $ 8.1 million, respectively, in the condensed consolidated balance sheets.

As of June 30, 2026 and December 31, 2025 the Company had Accounts receivable and unbilled, net from LIB of $ 1.3 million and $ 1.9 million, respectively, in the condensed consolidated balance sheets.

CinRX Pharma, subsidiaries and affiliates (“CinRx”)

1 unchanged sentence

The Company and CinRx have entered into several task orders for the Company to perform clinical trial related services.

The Company recognized total revenue from CinRx of $ 6.1 million and $ 11.7 million during the three months ended March 31, 2026 and 2025, respectively, in the Company’s condensed consolidated statements of operations.

As of March 31, 2026 and December 31, 2025 the Company had Advanced billings from CinRx of $ 5.6 million and $ 4.3 million, respectively, in the condensed consolidated balance sheets.

As of March 31, 2026 and December 31, 2025 the Company had Accounts receivable and unbilled, net from CinRx of $ 1.6 million in the condensed consolidated balance sheets.

The Company recognized total revenue from CinRx of $ 3.5 million and $ 15.1 million during the three months ended June 30, 2026 and 2025, respectively, and $ 9.6 million and $ 26.8 million during the six months ended June 30, 2026 and 2025, respectively, in the Company’s condensed consolidated statements of operations.

As of June 30, 2026 and December 31, 2025, the Company had Advanced billings from CinRx of $ 5.2 million and $ 4.3 million, respectively, in the condensed consolidated balance sheets.

As of June 30, 2026 and December 31, 2025 the Company had Accounts receivable and unbilled, net from CinRx of $ 1.6 million in the condensed consolidated balance sheets.

Leased Real Estate

6 unchanged sentences

The Company has determined that the lease is an operating lease.

Operating lease cost recognized for the three months ended March 31, 2026 and 2025 was $ 0.7 million.

Operating lease cost recognized for the three months ended June 30, 2026 and 2025 was $ 0.7 million.

Operating lease cost recognized for the six months ended June 30, 2026 and 2025 was $ 1.4 million.

The operating lease cost was allocated between Total direct costs and Selling, general and administrative in the condensed consolidated statements of operations.

The Operating lease right-of-use assets at March 31, 2026 and December 31, 2025 were $ 15.3 million and $ 15.8 million, respectively, in the condensed consolidated balance sheets.

The current and long-term portions of the lease liabilities at March 31, 2026 were $ 1.8 million and $ 14.2 million, respectively, and were recognized in Other current liabilities and Operating lease liabilities in the condensed consolidated balance sheets.

The current and long-term portions of the lease liabilities at December 31, 2025 were $ 1.8 million and $ 14.7 million, respectively, and were recognized in Other current liabilities and Operating lease liabilities in the condensed consolidated balance sheets.

The Operating lease right-of-use assets at June 30, 2026 and December 31, 2025 were $ 14.9 million and $ 15.8 million, respectively, in the condensed consolidated balance sheets.

The current and long-term portions of the lease liabilities at June 30, 2026 were $ 1.9 million and $ 13.7 million, respectively, and were recognized in Other current liabilities and Operating lease liabilities in the condensed consolidated balance sheets.

The current and long-term portions of the lease liabilities at December 31, 2025 were $ 1.8 million and

$ 14.7 million, respectively, and were recognized in Other current liabilities and Operating lease liabilities in the condensed consolidated balance sheets.

In 2018, Medpace, Inc.

5 unchanged sentences

The Company has determined that the lease is an operating lease.

Operating lease cost recognized for the three months ended March 31, 2026 and 2025 was $ 1.4 million.

Operating lease cost recognized for the three months ended June 30, 2026 and 2025 was $ 1.4 million.

Operating lease cost recognized for the six months ended June 30, 2026 and 2025 was $ 2.8 million.

The operating lease cost was allocated between Total direct costs and Selling, general and administrative in the condensed consolidated statements of operations.

The Operating lease right-of-use assets at March 31, 2026 and December 31, 2025 were $ 47.9 million and $ 48.4 million, respectively, in the condensed consolidated balance sheets.

The current and long-term portions of the lease liabilities at March 31, 2026 were $ 1.8 million and $ 59.7 million, respectively, and were recognized in Other current liabilities and Operating lease liabilities in the condensed consolidated balance sheets.

The Operating lease right-of-use assets at June 30, 2026 and December 31, 2025 were $ 47.4 million and $ 48.4 million, respectively, in the condensed consolidated balance sheets.

The current and long-term portions of the lease liabilities at June 30, 2026 were $ 1.9 million and $ 59.3 million, respectively, and were recognized in Other current liabilities and Operating lease liabilities in the condensed consolidated balance sheets.

The current and long-term portions of the lease liabilities at December 31, 2025 were $ 1.8 million and $ 60.2 million, respectively and were recognized in Other current liabilities and Operating lease liabilities in the condensed consolidated balance sheets.

1 unchanged sentence

The Company assumed occupancy in 2012 and the lease expires in 2027 with the Company having one 10-year option to extend the lease term.

The Company pays rent, taxes, insurance, and maintenance expenses that arise

from the use of the property.

The Company pays rent, taxes, insurance, and maintenance expenses that arise from the use of the property.

Annual base rent for the corporate headquarters allows for adjustments to the rental rate annually for increases in the consumer price index.

The Company has determined that the lease is an operating lease.

Operating lease cost recognized for the three months ended March 31, 2026 and 2025 was $ 0.6 million.

Operating lease cost recognized for the three months ended June 30, 2026 and 2025 was $ 0.7 million.

Operating lease cost recognized for the six months ended June 30, 2026 and 2025 was $ 1.3 million.

The operating lease cost was allocated between Total direct costs and Selling, general and administrative in the condensed consolidated statements of operations.

The Operating lease right-of-use assets at March 31, 2026 and December 31, 2025 were $ 3.6 million and $ 4.2 million, respectively, in the condensed consolidated balance sheets.

The current and long-term portions of the lease liabilities at March 31, 2026 were $ 2.4 million and $ 1.3 million, respectively, and were recognized in Other current liabilities and Operating lease liabilities in the condensed consolidated balance sheets.

The Operating lease right-of-use assets at June 30, 2026 and December 31, 2025 were $ 3.1 million and $ 4.2 million, respectively, in the condensed consolidated balance sheets.

The current and long-term portions of the lease liabilities at June 30, 2026 were $ 2.4 million and $ 0.6 million, respectively, and were recognized in Other current liabilities and Operating lease liabilities in the condensed consolidated balance sheets.

The current and long-term portions of the lease liabilities at December 31, 2025 were $ 2.3 million and $ 1.9 million, respectively, and were recognized in Other current liabilities and Operating lease liabilities in the condensed consolidated balance sheets.

The Company entered into a multi-year lease agreement governing the occupancy of office space in a building in Cincinnati, Ohio with an entity that is wholly owned by the Company’s chief executive officer and certain members of his immediate family.

The Company assumed occupancy in 2012 and the lease expires in 2027 with the Company having one 10-year option to extend the lease term.

The Company assumed occupancy in 2012 and the lease expires in 2027 with the Company having one 10-year option to extend the lease term, which the Company did not exercise.

In the first quarter of 2024, the Company reduced the lease term in connection with a plan to replace the leased office beginning in early 2025.

2 unchanged sentences

The Company has determined that the lease is an operating lease.

Operating lease cost recognized for the three months ended March 31, 2026 and 2025 was less than $ 0.1 million and $ 0.7 million, respectively.

Operating lease cost recognized for the three months ended June 30, 2026 and 2025 was less than $ 0.1 million.

Operating lease cost recognized for the six months ended June 30, 2026 and 2025 was less than $ 0.1 million and $ 0.7 million, respectively.

The operating lease cost was allocated between Total direct costs and Selling, general and administrative in the condensed consolidated statements of operations.

The current and long-term portions of the lease liabilities at March 31, 2026 were $ 1.0 million and $ 0.3 million, respectively, and were recognized in Other current liabilities and Operating lease liabilities in the condensed consolidated balance sheets.

The current portion of the lease liability at June 30, 2026 was $ 1.0 million and was recognized in Other current liabilities in the condensed consolidated balance sheets.

The current and long-term portions of the lease liabilities at December 31, 2025 were $ 1.0 million and $ 0.5 million, respectively, and were recognized in Other current liabilities and Operating lease liabilities in the condensed consolidated balance sheets.

3 unchanged sentences

The travel services provided are primarily for business purposes, with certain personal travel paid for as part of the executives’ compensation arrangements.

The Aircraft Management Company also makes the private aviation charter aircraft available to third parties.

The Company incurred travel expenses of $ 0.4 million during the three months ended March 31, 2026 and 2025, related to these travel services.

The Aircraft Management

Company also makes the private aviation charter aircraft available to third parties.

The Company incurred travel expenses of $ 0.4 million and $ 0.5 million during the three months ended June 30, 2026 and 2025, respectively, and $ 0.8 million and $ 0.9 million during the six months ended June 30, 2026 and 2025, respectively, related to these travel services.

These travel expenses are recorded in Selling, general and administrative in the Company’s condensed consolidated statements of operations.

As of March 31, 2026 and December 31, 2025, the Company had Accounts payable to the Aircraft Management Company of $ 0.1 million and $ 0.3 million, respectively, in the condensed consolidated balance sheets.

As of June 30, 2026 and December 31, 2025, the Company had Accounts payable to the Aircraft Management Company of less than $ 0.1 million and $ 0.3 million, respectively, in the condensed consolidated balance sheets.

(13) Segment Disclosures

1 unchanged sentence

Three Months Ended

June 30, Six Months Ended

2026 2025 2026 2025

Revenue, net $ 707,331 $ 603,311 $ 1,413,935 $ 1,161,881

9 unchanged sentences

Income from operations 146,824 126,335 288,327 239,858

Other income, net:

Miscellaneous income (expense), net 971 ( 1,816 )

Other income (expense), net:

Miscellaneous (expense) income, net ( 147 ) ( 2,875 ) 824 ( 4,691 )

Interest income, net 4,986 1,078 10,103 7,541

Total other income, net 6,088 4,647

Total other income (expense), net 4,839 ( 1,797 ) 10,927 2,850

Income before income taxes 151,663 124,538 299,254 242,708

8 unchanged sentences

Three Months Ended

June 30, Six Months Ended

2026 2025 2026 2025

Therapeutic Area

7 unchanged sentences

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-Q

Item 1. Financial Statements