Lineage (LINE) Financials

Lineage, Inc. Financial Overview and Trends (Last Four Quarters through Q1 2025)

Lineage's recent financial results indicate a company that is generating strong non-interest income but facing significant operating expenses and fluctuating net income results on a quarterly basis. Below are the key points from the analysis of their Income Statement, Cash Flow Statement, and Balance Sheet across the last year and into Q1 2025.

• Q1 2025 showed a notable increase in net realized and unrealized capital gains on investments ($16 million), doubling from Q3 2024 ($8 million), which supports total revenue despite no traditional interest income.
• Net cash provided by operating activities was $139 million in Q1 2025, a sign of strong operational cash generation capability, despite a net loss figure.
• The company maintained a strong asset base with $18.8 billion in total assets as of Q1 2025, reflecting substantial investment in property and equipment ($10.6 billion), goodwill ($3.4 billion), and intangible assets ($1.1 billion).
• Lineage issued $582 million in new debt in Q1 2025 while repaying $423 million, maintaining a balanced financing strategy with net proceeds contributing to financing activities.
• The company repaid $134 million in dividends in Q1 2025, continuing to provide shareholder returns.
• There is no interest income or expense reported for recent quarters, indicating the company might be operating outside traditional interest-earning activities or finance operations presently.
• Non-cash depreciation and amortization expenses remain high ($158 million and $54 million respectively in Q1 2025), consistent with significant property and equipment investment.
• Despite revenue gains, Q1 2025 net income was effectively flat at $0 after tax expenses matched pre-tax income, indicative of low profitability margins.
• Other operating expenses remain extremely high at over $1 billion per quarter, creating pressure on net income and cash flow.
• The company recorded substantial special charges and restructuring costs in Q1 2025 (net other special charges at negative $1.29 billion and restructuring charge $15 million), which negatively impacted net income and operating results.

Summary: Lineage's financial results reveal a firm with a solid asset base and strong cash generation from operations, offset by very high operating expenses and restructuring charges that suppressed profitability. The company’s increasing capital gains on investments signal potential upside in revenue streams outside traditional interest income. However, consistently high depreciation and amortization, special charges, and restructuring costs remain headwinds.

Retail investors should watch for signs of cost control improvements and sustained capital gains to enhance profitability. Also, maintaining manageable debt levels and continuing to generate robust cash flows are positive indicators of financial stability.