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Anthropic, PBC

Anthropic develops the Claude AI models and sells access to them, mostly paid for by usage, to businesses and developers.

Based on the Form S-1 filed on 26 October 2026 · financial information to 30 June 2026

What matters

The main points first. Select Why? on any of them for the reasons and the figures.

ConcernCompute purchase commitments far exceed current revenue: $54,559 million at the end of 2025, 11.9 times that year's revenue, and about $265.6 billion by June 2026, before leases not yet started of about $321.4 billion.Why?Close

Why it matters. The company holds $112.4 billion of cash but expects heavy cash use, up to $10.0 billion more could be tied up as collateral, and it relies on cloud providers that supply compute, carry 48% of sales and also compete with it.

What the reports cannot tell us. Purchase commitments, leases and later agreements have different scopes and dates and cannot be added; the filing gives no combined payment schedule.

Show the evidence: Compute commitments (finding 2), Funding the commitments (finding 3), Limits on available cash (finding 12), Dependence on cloud providers (finding 8)

ConcernClass A buyers will have limited say: the Founder LLC holds 50.1% of general votes and a trust elects most of the board.Why?Close

Why it matters. The trust's Class T stock has no economic rights, and holders of Class A shares together have 49.9% of general votes.

What the reports cannot tell us. The filing describes how the structure is meant to work; how it operates after listing cannot be shown yet.

Show the evidence: Who controls decisions (finding 4)

StrengthRevenue is growing very fast: $16,286 million in the six months to June 2026, against $1,163 million a year earlier.Why?Close

Why it matters. Revenue outran compute costs that were committed in advance, and the operating loss narrowed to $693 million.

What the reports cannot tell us. The company expects margins to narrow again as new compute arrives; one half-year is not a trend.

Show the evidence: Revenue growth and concentration (finding 10), Why the latest half-year improved (finding 6), Losses without the revaluation (finding 5)

UncertainOperations brought in $3,929 million of cash in the six months to June 2026, after three years of outflows.Why?Close

Why it matters. Advance payments from customers added $1,380 million, and the company expects significant net cash use ahead as it builds out compute.

What the reports cannot tell us. A single half-year of positive cash flow does not show a lasting pattern.

Show the evidence: Why the latest half-year improved (finding 6), Funding the commitments (finding 3)

ConcernAbout $26.6 billion of stock compensation for restricted stock units is still to be recognised, and the offering triggers it.Why?Close

Why it matters. Had the offering completed in June 2026, $2.9 billion would have been recorded at once; conversions and awards will also add many shares.

What the reports cannot tell us. Total dilution for Class A buyers cannot be calculated until the share counts are filed.

Show the evidence: Stock compensation still to come (finding 7), Dilution (finding 15)

UncertainDisputes with the US government are unresolved: a district court ruled largely for the company on one designation, while an appeal court upheld a separate Section 4713 designation 2-1.Why?Close

Why it matters. Sales to government agencies and their suppliers could be affected; export restrictions took two models offline in June 2026, and they were re-deployed once the restrictions were lifted.

What the reports cannot tell us. The company says it cannot predict the outcome.

Show the evidence: Legal and government matters (finding 9)

What could change the outlook?

Developments to watch, as the company's own documents show them. How they could matter is our interpretation, not a forecast and not a view on the share price; each says what later reports would confirm or contradict.

WatchTurning committed compute into revenue. Margins and cash flow could weaken as new capacity comes online before the revenue it is meant to support.Why?Close

What the company's documents show. The company says there is a lag between committing to compute and earning the revenue it supports.^[1] It expects more short-term compute in the near term, which would compress its operating margin.^[2] It also expects significant net cash used in operating and investing activities for the foreseeable future.^[3]

Would strengthen this reading: Later reports showing revenue rising faster than compute costs.

Would weaken it: Slower growth in usage while large commitments begin.

What the reports cannot yet show: When each commitment starts and what it will cost each year.

Assessed as of 28 October 2026. Related findings: finding 2, finding 3, finding 6

The 3 quotes behind this

[1] As a result, there is a lag between when investment is committed and when the full revenue associated with such investment is realized.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 133 →

[2] We expect our use of short-term compute to increase in the near term and to in turn compress our operating margin and Adjusted Operating Margin as a result.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 134 →

[3] We expect our capital expenditures to increase significantly as we expand our build-out, and we expect these investments to result in significant net cash used in operating and investing activities for the foreseeable future.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 161 →

WatchThe legal challenge to the supply-chain designation. The result could decide whether companies that work for the US government can keep buying from the company.Why?Close

What the company's documents show. On a petition for review, the D.C. Circuit upheld the separate Section 4713 designation in a 2-1 decision.^[1] The company has asked the full court to review that decision.^[2] It says it cannot predict the ultimate outcome.^[3]

Would strengthen this reading: A rehearing that reverses the panel's decision.

Would weaken it: Further rulings upholding the designation.

What the reports cannot yet show: How much revenue depends on government agencies and their suppliers.

Assessed as of 28 October 2026. Related findings: finding 9

The 3 quotes behind this

[1] On September 25, 2026, in a 2-1 split decision, the D.C. Circuit Court of Appeals denied our petition for review, ruling that the Department of War’s Section 4713 supply-chain risk designation was proper, and that our rights under the First Amendment and Due Process Clause of the Fifth Amendment were not violated.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 72 →

[2] We filed a petition for rehearing en banc asking the full D.C. Circuit to review the panel’s decision.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 72 →

[3] We cannot predict the ultimate outcome of these lawsuits.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 72 →

WatchRegulatory and competition inquiries. Both could lead to costs or to changes in how the company builds and releases models.Why?Close

What the company's documents show. In October 2026 the FTC sought information on the company's consumer protection, privacy and product safety practices.^[1] A class action filed in September 2026 alleges that the company and other model developers agreed to slow the pace of AI development.^[2]

Would strengthen this reading: The inquiry closing without action and the claim being dismissed.

Would weaken it: Enforcement action or an adverse ruling.

What the reports cannot yet show: The scope of the FTC's inquiry and any amount at stake.

Assessed as of 28 October 2026. Related findings: finding 9

The 2 quotes behind this

[1] In October 2026, the FTC issued a civil investigative demand to us seeking information about our consumer protection, data protection, and privacy practices, as well as the safety and security of our products.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 51 →

[2] In September 2026, a putative class action was filed against us and other developers of frontier AI models in the U.S. District Court for the Northern District of California, alleging that we and the other defendants agreed to restrain competition by slowing the pace at which we develop and improve our respective AI models, in purported violation of Section 1 of the Sherman Act.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 97 →

The company in figures

The business

Anthropic develops the Claude AI models and sells access to them through its models, platform and applications.^[1] Its primary revenue model is consumption-based: customers pay for usage.^[2]

Results and cash

Revenue rose from $386 million in 2024 to $4,585 million in 2025, and was $16,286 million in the six months to June 2026.^[3] The operating loss narrowed to $693 million in that half-year, and operations brought in $3,929 million of cash.^[4]^[5] At June 2026 it held $112.4 billion of cash and cash equivalents.^[10]

Control and commitments

After the offering the Founder LLC will hold a fixed 50.1% of general votes, and the Long-Term Benefit Trust elects a majority of the board.^[6]^[7] Purchase commitments stood at $54,559 million at the end of 2025 and about $265.6 billion by June 2026, not counting leases not yet started of about $321.4 billion.^[8]^[9]^[11]

The quotes behind this summary

[1] Our frontier AI, Claude, is delivered to customers through our models, platform, and applications.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 133 →

[2] Pay-for-intelligence, our consumption-based revenue model, is our primary revenue model and currently represents the substantial majority of our total revenue.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 138 →

[3] Revenue $ 41 $ 386 $ 4,585 $ 1,163 $ 16,286Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-7 →

[4] Operating loss (551) (2,980) (8,060) (2,135) (693)Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-7 →

[5] Net cash provided by (used in) operating activities (1,627) (5,692) (2,637) (1,513) 3,929Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-12 →

[6] Our Class F common stock is entitled to a fixed 50.1% of the voting power of our outstanding capital stock as of the applicable record date on matters submitted to stockholders generally.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 289 →

[7] Through a special class of common stock, Class T common stock, the LTBT generally has the authority to elect and remove the Class T directors, who together will constitute a majority of the authorized members of our board of directors.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 244 →

[8] Total non-cancelable contractual commitments $ 54,559Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-58 →

[9] As of June 30, 2026 (unaudited), expected future fixed or minimum guaranteed commitments under these agreements were approximately $265.6 billion with terms ranging from one to 20 years.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-58 →

[10] As of June 30, 2026, we had cash and cash equivalents of $112.4 billion, $19.3 billion of short-term investments, and $3.2 billion available under the Credit Facility, as described below.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 161 →

[11] As of December 31, 2025 and June 30, 2026 (unaudited), the Company had entered into lease agreements primarily related to compute and infrastructure capacity that had not yet commenced, with total estimated future undiscounted lease obligations of approximately $50.2 billion and $321.4 billion, respectively, with some arrangements subject to certain contractual conditions being met.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-35 →

What the reports do not tell us (4)

How the later commitment figures, each given at its own date, fit into one payment schedule, and on what terms they can be cancelled. finding 2 finding 3
What the price range, share numbers and net proceeds will be, and how many shares the selling stockholders will sell. finding 13 finding 19 finding 20
How the request for a rehearing on the Section 4713 designation is decided. finding 9
How much revenue the cloud marketplaces will carry, and on what fees. finding 8

Want to know something else? Ask your own question → Answers come from the same documents, with their pages.

The full research

For readers who want the detail: the findings behind the points above, most important first. Each opens to what it means, the answer, the figures and the pages they come from.

20 findings40 findings60 findings

All 20 findings at a glance (table)

#	Question	Answer in brief	Assessment	What it means
1	How does Anthropic earn revenue across subscriptions, API access, enterprise customers and distribution partners?	Mostly pay-per-use access to Claude models, with subscriptions and cloud marketplaces as the other routes	Mixed	Revenue follows customers' usage, so it can rise quickly with demand. The filing does not split revenue between enterprise customers, developers and consumers, so how much rests on each group is uncertain.
2	What compute and infrastructure payments has it committed to, and when do they become payable?	Purchase commitments of $54,559 million at end-2025, 11.9 times that year's revenue, and far larger since	Needs attention	The company has committed to pay for compute well ahead of the revenue it earns now. Purchase commitments, leases not yet started and agreements made after June 2026 are separate figures with their own scope and date and are never added together; the filing gives a year-by-year schedule only for the end-2025 figure.
3	How will available cash, operating cash generation and financing meet those commitments?	Large cash holdings now; long-term funding of the commitments depends on growth and new capital	Mixed	The cash covers the near term, as the company states. Over the life of the commitments, the filing shows no plan that matches cash sources to payments year by year, so whether funding will keep pace is uncertain.
4	Which decisions are controlled by ordinary shareholder votes, the Founder LLC and the Long-Term Benefit Trust?	Founder LLC holds 50.1% of general votes; a trust elects most of the board	Needs attention	Ordinary shareholders will have limited say over the board and over matters settled by a simple majority of general votes. How the arrangements work in practice after listing cannot be shown from the filing.
5	What do operating losses show after separating financing-related fair-value movements?	Operating loss narrowed to $693 million; most of the net loss is note revaluation	Mixed	Separating the financing items, the business itself still made an operating loss in every period shown, though a much smaller one in 2026. The fair-value charges reflect a rising valuation rather than cash spent.
6	What explains the improvement in the latest interim operating result and cash flow?	Revenue grew far faster than largely pre-committed compute costs	Mixed	The improvement reflects revenue outrunning costs fixed in advance. The company itself expects margins to narrow again as new compute arrives, so one half-year does not establish a lasting level.
7	How much stock compensation remains unrecognised, and what changes when the IPO completes?	About $26.6 billion of RSU expense still to be recognised, triggered by the IPO	Needs attention	Reported costs will rise sharply when the offering completes, even though the charge is non-cash; the awards also add shares.
8	How dependent is the business on cloud providers for compute capacity and distribution?	Cloud providers supply compute, carry 48% of sales and also compete	Needs attention	A few large partners sit on both the cost side and the sales side. The filing does not show how fees, capacity or priority would change if a relationship weakened.
9	Which legal proceedings and government actions could materially affect operations or revenue?	One court ruled largely for the company, another upheld a separate designation; also export curbs, an FTC demand and an antitrust claim	Needs attention	Government action has already removed products from sale for a time. The outcomes are open and could affect sales to government agencies and their suppliers. None of this is a finding of wrongdoing.
10	What explains revenue growth, and how much depends on a small number of customers or contracts?	Growth from wider adoption; largest customer 11% in the first half of 2026 and 12% in 2025, higher in earlier periods	Mixed	Growth is now spread across a rising number of sizeable customers, though concentration was much higher until recently. Customer counts are the company's own unaudited metric, and the filing does not say how long the growth rate can last.
11	How do adjusted operating results reconcile with reported results, and which exclusions recur?	Adjusted profit of $1,618 million against an operating loss of $693 million	Needs attention	Only the Bartz settlement is a one-off; stock-based pay recurs in every period and will grow after the offering, so the adjusted figure overstates the recurring result.
12	What restrictions, guarantees or collateral requirements could reduce available liquidity?	Up to $10.0 billion more could be tied up as collateral	Mixed	These amounts are small against current cash but would grow with the commitments; the filing does not say when the further restrictions could apply.
13	How much IPO money reaches Anthropic after selling shareholders, expenses and other specified uses?	Net proceeds to the company not yet stated	Not disclosed	How much of the IPO money reaches the company cannot be measured until the share numbers, price and tax amount are filed.
14	How will company proceeds be used, including employee-award tax obligations?	General corporate purposes and employee-award taxes; no amounts yet	Mixed	The proceeds are not tied to specific projects, so how they will be spent rests on management's later choices.
15	How much dilution could arise from outstanding awards, warrants, convertibles and the offering?	Large conversions and awards to come; offering dilution not yet measurable	Not assessable	Existing holders' conversions and employee awards will add many shares; the total effect for a buyer of Class A shares cannot be worked out until the share counts are filed.
16	What assurance accompanies the financial statements, and what reporting limitations are disclosed?	Clean audit of 2025; interim figures, controls and metrics not audited	Mixed	The audited figures are not qualified, but the six-month figures to June 2026 are unaudited, the auditor changed in 2025, and the company's own metrics carry no outside check.
17	What does the filing establish about customer retention, recurring usage and contract durability?	Very high reported retention, but little contractual commitment	Not assessable	Customers have expanded their spending sharply, but the filing does not establish how durable that usage is, since most revenue can change with usage and is not locked in by contract.
18	When can existing holders sell, and how many shares could become saleable at each stage?	Lock-ups of 180 to 365 days depending on the holder; some shares can be sold from the first day of trading	Not disclosed	The number of shares that could become saleable at each stage is blank in this filing, and early releases can change the timing.
19	Which offer terms remain preliminary or unquantified?	Price, share numbers, latest-quarter revenue and liquidity are blank	Not disclosed	The core offer terms will only be known from a later amendment; conclusions in this report may need revisiting then.
20	What valuation can be calculated once price and share counts are available, and what limits the comparison?	Not yet calculable: price and share counts are blank	Not assessable	A later filing will allow the equity value to be calculated by class. Comparisons with other companies would still be limited by the losses, the scale of commitments and the unusual share structure. This report takes no view on whether any price is high or low.

1.How does Anthropic earn revenue across subscriptions, API access, enterprise customers and distribution partners?Mostly pay-per-use access to Claude models, with subscriptions and cloud marketplaces as the other routesMixed

What it means

Revenue follows customers' usage, so it can rise quickly with demand. The filing does not split revenue between enterprise customers, developers and consumers, so how much rests on each group is uncertain.

The answer

Anthropic sells access to its Claude AI models through its models, platform and applications.^[1] Its primary model is consumption-based: customers pay for usage, metered in tokens and priced by the model chosen.^[2]^[3] Consumption-based revenue was 83% of total revenue in 2025; subscriptions were 17% in 2025 and 20% in the six months to June 2026.^[4]^[5] Sales through cloud providers' marketplaces were about 48% of revenue in the six months to June 2026.^[6]

Why it is ranked here

Sets out the business being offered; every later question depends on how this revenue is earned. Question 1 of the common 60.

The 6 quotes behind this finding

[1] Our frontier AI, Claude, is delivered to customers through our models, platform, and applications.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 133 →

[3] Under this model, customers pay for usage, which is metered in tokens and priced according to the model selected.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 138 →

[4] Consumption-based revenue increased from $288 million, or 75% of total revenue, for the year ended December 31, 2024, to $3.8 billion, or 83% of total revenue, for the year ended December 31, 2025Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 138 →

[5] Subscription-based revenue increased from $98 million, or 25% of total revenue, to $789 million, or 17% of total revenue, to $3.2 billion, or 20% of total revenue, over the same periods.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 138 →

[6] During the years ended December 31, 2023, 2024, and 2025 and the six months ended June 30, 2026, revenue generated from sales to customers through CSP marketplaces represented approximately 11%, 32%, 47%, and 48% , respectively, of total revenue.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 56 →

2.What compute and infrastructure payments has it committed to, and when do they become payable?Purchase commitments of $54,559 million at end-2025, 11.9 times that year's revenue, and far larger sinceNeeds attention

What it means

The company has committed to pay for compute well ahead of the revenue it earns now. Purchase commitments, leases not yet started and agreements made after June 2026 are separate figures with their own scope and date and are never added together; the filing gives a year-by-year schedule only for the end-2025 figure.

The answer

At the end of 2025 non-cancellable purchase commitments were $54,559 million, mainly for cloud hosting and infrastructure, or 11.9 times 2025 revenue of $4,585 million.^[1]^[7] By June 2026 fixed or minimum purchase commitments under these agreements were about $265.6 billion, with terms of one to 20 years.^[2] Leases not yet started are not included in those purchase commitments: they were about $50.2 billion at the end of 2025 and $321.4 billion at June 2026.^[3] Separately, agreements made after June 2026 carry about $245 billion of minimum payments, plus about $21 billion of short-term payments.^[4]^[5] Agreements without a fixed amount are excluded from all these figures, and the company expects those payments to be significant.^[6]

Calculated by Listing Evidence: Commitments at the end of 2025 against 2025 revenue: 54,559 ÷ 4,585 = 11.9 times. Non-cancellable purchase commitments with more than one year to run, as printed for the end of 2025; excludes leases not yet started

Why it is ranked here

The largest financial exposure in the filing, set against revenue a fraction of its size. Question 11 of the common 60.

The 7 quotes behind this finding

[1] Total non-cancelable contractual commitments $ 54,559Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-58 →

[2] As of June 30, 2026 (unaudited), expected future fixed or minimum guaranteed commitments under these agreements were approximately $265.6 billion with terms ranging from one to 20 years.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-58 →

[3] As of December 31, 2025 and June 30, 2026 (unaudited), the Company had entered into lease agreements primarily related to compute and infrastructure capacity that had not yet commenced, with total estimated future undiscounted lease obligations of approximately $50.2 billion and $321.4 billion, respectively, with some arrangements subject to certain contractual conditions being met.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-35 →

[4] In addition to the transactions above, subsequent to June 30, 2026, the Company entered into new, and amended existing, lease and commercial agreements primarily to secure additional compute and infrastructure capacity, with aggregate future minimum payment obligations of approximately $245 billion , with some arrangements subject to certain contractual conditions being met.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-65 →

[5] The Company also entered into certain agreements that are short term in nature with minimum non-cancelable payments under such contracts of approximately $21 billion.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-65 →

[6] The Company does not include any estimated obligation for these agreements in the amount above; however, such payments are expected to be significant.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-58 →

[7] Revenue $ 41 $ 386 $ 4,585 $ 1,163 $ 16,286Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-7 →

3.How will available cash, operating cash generation and financing meet those commitments?Large cash holdings now; long-term funding of the commitments depends on growth and new capitalMixed

What it means

The cash covers the near term, as the company states. Over the life of the commitments, the filing shows no plan that matches cash sources to payments year by year, so whether funding will keep pace is uncertain.

The answer

At June 2026 the company held $112.4 billion of cash and cash equivalents and $19.3 billion of short-term investments.^[1] Operations brought in $3,929 million of cash in the six months to June 2026, after using cash in each of 2023, 2024 and 2025.^[2] The company says its cash, cash from sales and its credit facility will be sufficient for at least the next 12 months.^[3] It expects significant net cash used in operating and investing activities for the foreseeable future, while purchase commitments reached about $265.6 billion by June 2026, before leases not yet started of about $321.4 billion.^[4]^[5]^[6]

Why it is ranked here

Whether the commitments in priority 2 can be met is the central funding question. Question 4 of the common 60.

The 6 quotes behind this finding

[1] As of June 30, 2026, we had cash and cash equivalents of $112.4 billion, $19.3 billion of short-term investments, and $3.2 billion available under the Credit Facility, as described below.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 161 →

[2] Net cash provided by (used in) operating activities (1,627) (5,692) (2,637) (1,513) 3,929Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-12 →

[3] We believe our existing available cash and cash equivalents, together with cash generated from sales and amounts available under our A&R Credit Facility (as defined below), will be sufficient to support working capital, operating and finance lease payments, and capital expenditure requirements for at least the next 12 months from the date of this prospectus.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 162 →

[4] We expect our capital expenditures to increase significantly as we expand our build-out, and we expect these investments to result in significant net cash used in operating and investing activities for the foreseeable future.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 161 →

[5] As of June 30, 2026 (unaudited), expected future fixed or minimum guaranteed commitments under these agreements were approximately $265.6 billion with terms ranging from one to 20 years.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-58 →

[6] As of December 31, 2025 and June 30, 2026 (unaudited), the Company had entered into lease agreements primarily related to compute and infrastructure capacity that had not yet commenced, with total estimated future undiscounted lease obligations of approximately $50.2 billion and $321.4 billion, respectively, with some arrangements subject to certain contractual conditions being met.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-35 →

4.Which decisions are controlled by ordinary shareholder votes, the Founder LLC and the Long-Term Benefit Trust?Founder LLC holds 50.1% of general votes; a trust elects most of the boardNeeds attention

What it means

Ordinary shareholders will have limited say over the board and over matters settled by a simple majority of general votes. How the arrangements work in practice after listing cannot be shown from the filing.

The answer

After the offering, the Class F share held by the Founder LLC carries a fixed 50.1% of the votes on matters put to stockholders generally, so holders of Class A shares together have 49.9%.^[1]^[2] Separately, the Long-Term Benefit Trust, through Class T stock with no economic rights, elects and removes directors who form a majority of the board.^[3]^[4] The company says this voting power is not derived from or proportionate to economic interests in the company.^[5]

Why it is ranked here

Control decides how every other risk is handled after listing. Question 7 of the common 60.

The 5 quotes behind this finding

[1] Our Class F common stock is entitled to a fixed 50.1% of the voting power of our outstanding capital stock as of the applicable record date on matters submitted to stockholders generally.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 289 →

[2] As a result, the voting power of the holders of Class A common stock is limited to an aggregate of 49.9% of the total outstanding voting power as of the applicable record date.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 289 →

[3] Through a special class of common stock, Class T common stock, the LTBT generally has the authority to elect and remove the Class T directors, who together will constitute a majority of the authorized members of our board of directors.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 244 →

[4] Class T common stock has no economic rights.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 244 →

[5] Our capital structure will concentrate voting power with the LTBT and the Founder LLC for the foreseeable future and will result in the LTBT and the Founder LLC having voting power that is not derived from or proportionate to economic interests in our company.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 17 →

5.What do operating losses show after separating financing-related fair-value movements?Operating loss narrowed to $693 million; most of the net loss is note revaluationMixed

What it means

Separating the financing items, the business itself still made an operating loss in every period shown, though a much smaller one in 2026. The fair-value charges reflect a rising valuation rather than cash spent.

The answer

The operating loss, which is before the fair-value changes, was $8,060 million in 2025 and $693 million in the six months to June 2026, against $2,135 million a year earlier.^[1] The net loss was $80,748 million in that half-year.^[2] Of an accumulated deficit of $132.9 billion, $113.2 billion relates to fair-value changes on convertible notes and derivative liabilities as the company's valuation rose, including $72.4 billion in the six months to June 2026.^[3]

Why it is ranked here

Shows the operating result once financing movements are set aside. Question 8 of the common 60.

The 3 quotes behind this finding

[1] Operating loss (551) (2,980) (8,060) (2,135) (693)Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-7 →

[2] Net loss $ (1,531) $ (8,309) $ (41,965) $ (12,969) $ (80,748)Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-7 →

[3] We have generated losses from our operations, as reflected in our accumulated deficit of $132.9 billion, which includes $113.2 billion related to changes in the fair value of our convertible notes driven by increases in our enterprise valuation and derivative liabilities since 2023, including $72.4 billion during the six months ended June 30, 2026.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 161 →

6.What explains the improvement in the latest interim operating result and cash flow?Revenue grew far faster than largely pre-committed compute costsMixed

What it means

The improvement reflects revenue outrunning costs fixed in advance. The company itself expects margins to narrow again as new compute arrives, so one half-year does not establish a lasting level.

The answer

In the six months to June 2026 revenue was $16,286 million against $1,163 million a year earlier, while compute and infrastructure cost $8,945 million against $2,334 million.^[1]^[2] The company attributes revenue growth to successive model and product releases that drove higher usage and broader adoption.^[3] It says compute costs are largely fixed in the near term because compute is procured 12 to 18 months ahead.^[4] Operating cash flow of $3,929 million in the half-year was helped by $1,380 million more of advance payments from customers.^[5]^[6] The company expects more short-term compute in the near term, which would compress its operating margin.^[7]

Why it is ranked here

Explains the latest result; brings in the cost of delivering services (priorities 21 and 22). Question 15 of the common 60.

The 7 quotes behind this finding

[1] Revenue $ 41 $ 386 $ 4,585 $ 1,163 $ 16,286Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-7 →

[2] Compute and infrastructure 433 2,522 7,326 2,334 8,945Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-7 →

[3] The increases in each quarter were driven by successive model and product releases that drove higher usage, expansion, and broader adoption across our offerings, with both consumption-based and subscription-based revenue contributing.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 158 →

[4] Because we typically procure compute 12 to 18 months in advance of availability, these expenses are generally fixed in the near term and increased as committed compute became available to us rather than in response to in-period demand.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 158 →

[5] Net cash provided by (used in) operating activities (1,627) (5,692) (2,637) (1,513) 3,929Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-12 →

[6] Deferred revenue 7 21 241 124 1,380Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-12 →

[7] We expect our use of short-term compute to increase in the near term and to in turn compress our operating margin and Adjusted Operating Margin as a result.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 134 →

7.How much stock compensation remains unrecognised, and what changes when the IPO completes?About $26.6 billion of RSU expense still to be recognised, triggered by the IPONeeds attention

What it means

Reported costs will rise sharply when the offering completes, even though the charge is non-cash; the awards also add shares.

The answer

At June 2026 there was about $26.6 billion of unrecognised stock-based compensation for restricted stock units.^[1] Had the offering completed in June 2026, $2.9 billion would have been recorded at once, with a further $23.7 billion over about 2.1 years.^[2] Other equity awards carried about $3.1 billion more, to be recognised over about 1.3 years.^[3] Stock-based compensation was $2,185 million in the six months to June 2026, and the company says the offering will increase this expense in later periods.^[5]^[4] After June 2026 the board approved about 91 million more restricted stock units with a grant-date fair value of $5.8 billion.^[6]

Why it is ranked here

A large, known future expense brought forward by the listing itself. Question 38 of the common 60.

The 6 quotes behind this finding

[1] As of June 30, 2026, there was approximately $26.6 billion of total unrecognized stock-based compensation expense related to RSUs.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 173 →

[2] If this offering had been completed on June 30, 2026, we would have recorded $2.9 billion of cumulative stock-based compensation expense related to the RSUs on that date, and an additional $23.7 billion of unrecognized stock-based compensation expense related to the RSUs, would be recognized over a weighted-average period of approximately 2.1 years.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 64 →

[3] as of June 30, 2026, we had unrecognized stock-based compensation expense of approximately $3.1 billion related to other outstanding equity awards, which we expect to recognize over a weighted-average period of approximately 1.3 years.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 64 →

[4] Following the completion of this offering, stock-based compensation expense related to our RSUs will result in increases in our expenses in future periodsRegistration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 173 →

[5] Stock-based compensation expense 29 192 1,158 279 2,185Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-12 →

[6] Subsequent to June 30, 2026, the Company’s board of directors approved grants of approximately 91 million RSUs with an aggregate grant date fair value of $5.8 billion.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-64 →

8.How dependent is the business on cloud providers for compute capacity and distribution?Cloud providers supply compute, carry 48% of sales and also competeNeeds attention

What it means

A few large partners sit on both the cost side and the sales side. The filing does not show how fees, capacity or priority would change if a relationship weakened.

The answer

Sales through cloud providers' marketplaces rose from about 11% of revenue in 2023 to 48% in the six months to June 2026.^[1] These platforms bill customers, collect payment and pass it on, net of their fees.^[2] Some of the same cloud providers and chip partners supply compute, provide capital or credit support, and offer AI models that compete with the company's.^[3]^[4]^[5] The company says these relationships could create conflicts of interest affecting its access to compute, its cost and the priority of its workloads.^[6]

Why it is ranked here

Dependence on a few partners touches compute, revenue and funding at once. Question 12 of the common 60.

The 6 quotes behind this finding

[1] During the years ended December 31, 2023, 2024, and 2025 and the six months ended June 30, 2026, revenue generated from sales to customers through CSP marketplaces represented approximately 11%, 32%, 47%, and 48% , respectively, of total revenue.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 56 →

[2] These platforms bill end customers, collect payments on our behalf, and remit such amounts to us, net of applicable platform and other fees.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 56 →

[3] Our reliance on a limited number of CSPs and suppliers, some of which have strategic and investment relationships with us and are our customers, creates complex dynamics that could give rise to conflicts of interest and adversely affect our access to compute.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 16 →

[4] In addition, certain of the CSPs and chip partners on which we rely provide us capital or credit support, serve as our infrastructure vendors, and develop and offer AI modelsRegistration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 161 →

[5] and services that compete with ours.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 162 →

[6] These relationships could give rise to conflicts of interest that affect our access to compute, its cost, the prioritization of our workloads, or the terms on which such capital or credit support is provided.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 162 →

9.Which legal proceedings and government actions could materially affect operations or revenue?One court ruled largely for the company, another upheld a separate designation; also export curbs, an FTC demand and an antitrust claimNeeds attention

What it means

Government action has already removed products from sale for a time. The outcomes are open and could affect sales to government agencies and their suppliers. None of this is a finding of wrongdoing.

The answer

In February 2026 the President said he had directed all federal executive agencies to stop using the company's technology, after the company said its models should not be used for mass domestic surveillance or fully autonomous weapons.^[1] The company challenged the actions in two separate proceedings.^[8] In the first, a district court ruled largely in the company's favour on the directive and the Section 3252 designation, finding the actions retaliatory.^[9]^[2] In the second, a petition for review of the separate Section 4713 designation, the D.C. Circuit Court of Appeals upheld that designation 2-1, and the company has asked the full court to rehear it.^[3]^[10] In June 2026 export restrictions led the company to disable two models for all customers; it re-deployed them once the restrictions were lifted.^[4]^[11] In October 2026 the FTC sought information on its consumer protection, privacy and product safety practices, and a class action filed in September 2026 alleges an agreement to slow AI development.^[6]^[7] The company says it cannot predict the outcome of the lawsuits.^[5]

Why it is ranked here

Unresolved government action could shut out a group of customers whatever the results; includes product restrictions (priority 44). Question 18 of the common 60.

The 11 quotes behind this finding

[1] in February 2026, in response to our publicly stated position that our technology should not be used for mass domestic surveillance or fully autonomous weapons, the President of the United States stated that he had directed that all federal executive agencies cease using our technology.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 71 →

[2] The court ruled that the Challenged Actions were retaliatory acts meant to punish us for speech protected under the First Amendment to the United States Constitution and violated our rights under the Due Process Clause of the Fifth Amendment to the United States Constitution.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 72 →

[3] On September 25, 2026, in a 2-1 split decision, the D.C. Circuit Court of Appeals denied our petition for review, ruling that the Department of War’s Section 4713 supply-chain risk designation was proper, and that our rights under the First Amendment and Due Process Clause of the Fifth Amendment were not violated.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 72 →

[4] Further, in June 2026, the U.S. Department of Commerce imposed worldwide export restrictions on our Fable 5 and Mythos 5 models, which we disabled for all customers until those restrictions were liftedRegistration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 72 →

[5] We cannot predict the ultimate outcome of these lawsuits.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 72 →

[6] In October 2026, the FTC issued a civil investigative demand to us seeking information about our consumer protection, data protection, and privacy practices, as well as the safety and security of our products.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 51 →

[7] In September 2026, a putative class action was filed against us and other developers of frontier AI models in the U.S. District Court for the Northern District of California, alleging that we and the other defendants agreed to restrain competition by slowing the pace at which we develop and improve our respective AI models, in purported violation of Section 1 of the Sherman Act.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 97 →

[8] We vigorously challenged these Challenged Actions in Anthropic PBC v. Department of War, et al. (N.D. Cal.) andRegistration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 71 →

[9] After first obtaining an order from the United States District Court for the Northern District of California that preliminarily enjoined the Department of War’s directive and Section 3252 supply-chain risk designation of us and preliminarily enjoined the other defendant agencies from implementing the Presidential directive until final resolution of the lawsuitRegistration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 72 →

[10] We filed a petition for rehearing en banc asking the full D.C. Circuit to review the panel’s decision.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 72 →

[11] We re-deployed the Fable 5 and Mythos 5 models after we updated our safeguards in coordination with the U.S. government and our industry partners and once the U.S. Department of Commerce lifted its restrictions.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 99 →

10.What explains revenue growth, and how much depends on a small number of customers or contracts?Growth from wider adoption; largest customer 11% in the first half of 2026 and 12% in 2025, higher in earlier periodsMixed

What it means

Growth is now spread across a rising number of sizeable customers, though concentration was much higher until recently. Customer counts are the company's own unaudited metric, and the filing does not say how long the growth rate can last.

The answer

Revenue rose from $386 million in 2024 to $4,585 million in 2025 and $16,286 million in the six months to June 2026.^[1] The company attributes the growth to model and product releases that increased usage and adoption.^[2] Customers with $100,000 or more of trailing twelve-month revenue grew from about 400 in early 2025 to more than 6,000 by June 2026.^[3] The largest customer provided 11% of revenue in the six months to June 2026 and 12% in 2025, but more in earlier periods: 18% in the first half of 2025 and 43% in 2023.^[4]

Why it is ranked here

Tests what drives the revenue line and whether it rests on a few accounts. Question 21 of the common 60.

The 4 quotes behind this finding

[1] Revenue $ 41 $ 386 $ 4,585 $ 1,163 $ 16,286Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-7 →

[2] The increases in each quarter were driven by successive model and product releases that drove higher usage, expansion, and broader adoption across our offerings, with both consumption-based and subscription-based revenue contributing.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 158 →

[3] customers with $100,000 or more of revenue on a TTM basis grew from approximately 400 as of March 31, 2025 to more than 6,000 as of June 30, 2026.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 158 →

[4] Customer A * * 12% * * Customer B * * 12% 18% * Customer C 43% * * * 11%Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-15 →

11.How do adjusted operating results reconcile with reported results, and which exclusions recur?Adjusted profit of $1,618 million against an operating loss of $693 millionNeeds attention

What it means

Only the Bartz settlement is a one-off; stock-based pay recurs in every period and will grow after the offering, so the adjusted figure overstates the recurring result.

The answer

Adjusted Operating Income (Loss) leaves out stock-based compensation, non-cash charitable contributions and the Bartz settlement.^[1] It was a profit of $1,618 million in the six months to June 2026, against a reported operating loss of $693 million.^[2]^[3] Stock-based compensation was excluded in every period shown, reaching $2,185 million in the half-year, and charitable contributions of $126 million were excluded too.^[4]^[5] The Bartz settlement of $1.5 billion was a single copyright class-action settlement.^[6]

Why it is ranked here

The gap between the company's measure and the reported figure changes how performance reads. Question 27 of the common 60.

The 6 quotes behind this finding

[1] We define Adjusted Operating Income (Loss) as operating loss excluding (i) stock-based compensation expense, (ii) non-cash charitable contributions, and (iii) the Bartz settlement.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 155 →

[2] Adjusted Operating Income (Loss) $ (522) $ (2,788) $ (4,854) $ (1,849) $ 1,618Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 156 →

[3] Operating loss (551) (2,980) (8,060) (2,135) (693)Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-7 →

[4] Stock-based compensation expense 29 192 1,165 286 2,185Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 156 →

[5] Non-cash charitable contributions (1) — — 541 — 126Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 156 →

[6] in September 2025, we reached an agreement to settle a copyright infringement class action, captioned Bartz, et al. v. Anthropic PBC (“Bartz”), for $1.5 billion, which was approved by the district court in July 2026.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 92 →

12.What restrictions, guarantees or collateral requirements could reduce available liquidity?Up to $10.0 billion more could be tied up as collateralMixed

What it means

These amounts are small against current cash but would grow with the commitments; the filing does not say when the further restrictions could apply.

The answer

At June 2026 the company held $2.5 billion of restricted cash, mainly collateral for leases and other obligations.^[1] It may be required to restrict up to an additional $10.0 billion under certain arrangements.^[2] In April 2026 it placed $2.5 billion in escrow for a compute lease, and it guarantees a data-centre provider's power contract up to $500 million.^[3]^[4] Its credit facility requires liquidity of at least $5.0 billion at each quarter end.^[5]

Why it is ranked here

Shows how much of the cash may not be freely available. Question 10 of the common 60.

The 5 quotes behind this finding

[1] In addition, we had $2.5 billion of restricted cash primarily due to amounts held as collateral for our lease and other obligations.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 172 →

[2] The Company may be required to restrict up to an additional $10.0 billion for future amounts due, under certain arrangements.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-36 →

[3] In April 2026, the Company deposited $2.5 billion into an escrow account in connection with a compute and infrastructure lease agreement.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-63 →

[4] the Company entered into a guaranty of the provider’s obligations under a power purchase contract in favor of the power counterparty in a maximum amount of up to $500 million.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-63 →

[5] The A&R Credit Agreement includes a financial covenant requiring that we maintain liquidity of at least $5.0 billion as of the last day of each fiscal quarter, beginning with the fiscal quarter ending December 31, 2026.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 163 →

13.How much IPO money reaches Anthropic after selling shareholders, expenses and other specified uses?Net proceeds to the company not yet statedNot disclosed

What it means

How much of the IPO money reaches the company cannot be measured until the share numbers, price and tax amount are filed.

The answer

The expected net proceeds and the price are blank in this preliminary filing.^[1] The company receives nothing from shares sold by selling stockholders.^[2] Part of its proceeds will pay tax withholding on settling restricted stock units, an amount also left blank.^[3]

Why it is ranked here

The basic split between money for the company and for sellers. Question 5 of the common 60.

The 3 quotes behind this finding

[1] We estimate that the net proceeds to us from the sale of shares of our Class A common stock in this offering will be approximately $ , based upon the assumed initial public offering price of $ per shareRegistration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 124 →

[2] We will not receive any proceeds from the sale of shares of Class A common stock by the selling stockholders.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 124 →

[3] We also intend to use a portion of the net proceeds we receive from this offering to satisfy our anticipated tax withholding and remittance obligations of $ related to the RSU Settlement.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 124 →

14.How will company proceeds be used, including employee-award tax obligations?General corporate purposes and employee-award taxes; no amounts yetMixed

What it means

The proceeds are not tied to specific projects, so how they will be spent rests on management's later choices.

The answer

Proceeds are for general corporate purposes, including compute and infrastructure and hiring, and part will pay tax withholding on settling restricted stock units.^[1]^[2] The company says it cannot specify the uses with certainty and will have broad discretion.^[3] Its stated purposes also include creating a public market and an orderly distribution of shares for selling stockholders.^[4]

Why it is ranked here

Shows what the IPO is meant to achieve. Question 6 of the common 60.

The 4 quotes behind this finding

[1] We intend to use the net proceeds from this offering for general corporate purposes, including working capital, operating expenses, and capital expenditures, including investments in compute and infrastructure, as well as hiring and retention of highly skilled personnel.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 124 →

[2] We also intend to use a portion of the net proceeds we receive from this offering to satisfy our anticipated tax withholding and remittance obligations of $ related to the RSU Settlement.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 124 →

[3] We cannot further specify with certainty the particular uses of the net proceeds that we will receive from this offering. Accordingly, we will have broad discretion in using these proceeds.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 124 →

[4] The principal purposes of this offering are to increase our capitalization and financial flexibility, create a public market for our Class A common stock, facilitate an orderly distribution of shares for the selling stockholders, and enable access to the public equity markets for us and our stockholders.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 124 →

15.How much dilution could arise from outstanding awards, warrants, convertibles and the offering?Large conversions and awards to come; offering dilution not yet measurableNot assessable

What it means

Existing holders' conversions and employee awards will add many shares; the total effect for a buyer of Class A shares cannot be worked out until the share counts are filed.

The answer

At June 2026 potentially dilutive securities excluded from the loss-per-share figures came to 12,211,499 thousand shares, mostly preferred stock and convertible notes.^[1] A further 1,049.6 million performance-based restricted stock units were not included, and about 91 million more were granted after June 2026.^[2]^[5] Class N shares issued when the preferred stock and notes convert will dilute the economic interests of Class A holders.^[3] The number of shares to be sold in the offering is blank, so total dilution cannot yet be calculated.^[4]

Why it is ranked here

Dilution changes what each share represents; brings in stock compensation. Question 17 of the common 60.

The 5 quotes behind this finding

[1] Total 6,959,352 6,318,333 9,526,778 8,422,306 12,211,499Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-58 →

[2] The table above does not include 621.0 million, 173.7 million, and 1,049.6 million RSUs outstanding as these awards are subject to a performance condition that was not considered probable for the year ended December 31, 2025 and six months ended June 30, 2025 and 2026 (unaudited), respectively.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-58 →

[3] As a result, the shares of Class N common stock issued in connection with the completion of this offering as a result of the Preferred Stock Conversion and Convertible Notes Conversion will dilute the economic interests, including any dividends and any proceeds available for distribution to stockholders, of the holders of our Class A common stockRegistration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 117 →

[4] We estimate that the net proceeds to us from the sale of shares of our Class A common stock in this offering will be approximately $ , based upon the assumed initial public offering price of $ per shareRegistration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 124 →

[5] Subsequent to June 30, 2026, the Company’s board of directors approved grants of approximately 91 million RSUs with an aggregate grant date fair value of $5.8 billion.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-64 →

16.What assurance accompanies the financial statements, and what reporting limitations are disclosed?Clean audit of 2025; interim figures, controls and metrics not auditedMixed

What it means

The audited figures are not qualified, but the six-month figures to June 2026 are unaudited, the auditor changed in 2025, and the company's own metrics carry no outside check.

The answer

Ernst & Young, auditor since 2025, gave an unmodified opinion on the 2025 accounts; Grant Thornton audited the earlier years.^[1]^[2]^[3] The auditor was not engaged to audit internal control over financial reporting.^[4] Operating metrics such as Net Revenue Retention and customer counts have not been independently verified.^[5]

Why it is ranked here

Confidence in the figures used throughout this report. Question 3 of the common 60.

The 5 quotes behind this finding

[1] In our opinion, the consolidated financial statements present fairly, in all material respects, the financial position of the Company at December 31, 2025, and the results of its operations and its cash flows for the year then ended, in conformity with U.S. generally accepted accounting principles.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-2 →

[2] We have served as the Company’s auditor since 2025.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-3 →

[3] We have served as the Company’s auditor from 2023 to 2025.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-4 →

[4] The Company is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page F-2 →

[5] Certain of our operating metrics, such as Run-Rate Revenue, Net Revenue Retention, customer counts, and Claude’s success rate, are based on numerous assumptions and limitations, are calculated using data from internal systems and tools, have not been independently verified by third partiesRegistration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 67 →

17.What does the filing establish about customer retention, recurring usage and contract durability?Very high reported retention, but little contractual commitmentNot assessable

What it means

Customers have expanded their spending sharply, but the filing does not establish how durable that usage is, since most revenue can change with usage and is not locked in by contract.

The answer

The company reports Net Revenue Retention of about 900% as of September 2026.^[1] It says this and other metrics rest on assumptions and have not been independently verified.^[2] Much of its revenue is not subject to long-term contractual commitments.^[3]

Why it is ranked here

Durability of revenue against long-term commitments. Question 22 of the common 60.

The 3 quotes behind this finding

[1] as demonstrated by our Net Revenue Retention of approximately 900% as of September 30, 2026.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 182 →

[2] Certain of our operating metrics, such as Run-Rate Revenue, Net Revenue Retention, customer counts, and Claude’s success rate, are based on numerous assumptions and limitations, are calculated using data from internal systems and tools, have not been independently verified by third partiesRegistration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 67 →

[3] However, our revenue is primarily consumption-based, and much of it is not subject to long-term contractual commitments, while our compute and infrastructure commitments generally extend over multiple years.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 32 →

18.When can existing holders sell, and how many shares could become saleable at each stage?Lock-ups of 180 to 365 days depending on the holder; some shares can be sold from the first day of tradingNot disclosed

What it means

The number of shares that could become saleable at each stage is blank in this filing, and early releases can change the timing.

The answer

Directors, officers and holders of substantially all of the stock have agreed lock-ups or market standoffs, with specific exceptions and early-release provisions.^[1] For the co-founders and holders of more than 0.5% of the fully diluted shares, the lock-up runs to the earlier of an earnings release in late 2027 and the 365th day after the prospectus date.^[2] For other holders the main date is the 180th day, but some of them may transfer up to 10% of their lock-up securities from the first trading day.^[3]^[4] The lead underwriters may release holders early.^[5]

Why it is ranked here

Future sales by existing holders affect supply after listing. Question 39 of the common 60.

The 5 quotes behind this finding

[1] Our directors, executive officers, and the holders of substantially all of our capital stock and securities convertible into or exchangeable for our capital stock have entered into market standoff agreements with us or have entered or will enter into lock-up agreements with Goldman Sachs & Co. LLC and Morgan Stanley & Co. LLC, on behalf of the underwriters, under which they have agreed, subject to specific exceptions including specified early expiration provisions, to certain restrictions on their ability to transfer any sharesRegistration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 117 →

[2] in the case of our co-founders and certain of our stockholders holding more than 0.5% of our fully diluted shares prior to this offering, on the earlier of (A) 6:00 AM Eastern Time on the second full trading day immediately following the public release of our quarterly financial results for the fiscal quarter ending September 30, 2027 and (B) immediately after the close of the trading day on the 365th day after the date of this prospectusRegistration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 117 →

[3] close of the trading day on the 180th day after the date of this prospectus.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 118 →

[4] on or after the commencement of trading of our Class A common stock on the first trading day following the date of this prospectus, up to 10% of the aggregate number of lock-up securities held by such lock-up parties as of the last day of the month preceding the month of the date of this prospectus may be TransferredRegistration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 321 →

[5] Goldman Sachs & Co. LLC and Morgan Stanley & Co. LLC may release stockholders from the lock-up agreements, and we may, generally only with their consent, release stockholders from the market standoff agreements, in each case prior to the end of the applicable period.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 118 →

19.Which offer terms remain preliminary or unquantified?Price, share numbers, latest-quarter revenue and liquidity are blankNot disclosed

What it means

The core offer terms will only be known from a later amendment; conclusions in this report may need revisiting then.

The answer

The price, share numbers and expected net proceeds are blank.^[1] Revenue for the three months to September 2026 is also blank.^[2] Liquidity at September 2026 is left blank too.^[3]

Why it is ranked here

Makes the limits of the evidence visible. Question 59 of the common 60.

The 3 quotes behind this finding

[2] to $ for the three months ended September 30, 2026.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 133 →

[3] As of September 30, 2026, and prior to taking into account the net proceeds to us from this offering, we had $ of liquidity, comprised of $ of cash and cash equivalents, $ of short-term investments, and $ of availability under our A&R Credit Facility (as defined below).Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 138 →

20.What valuation can be calculated once price and share counts are available, and what limits the comparison?Not yet calculable: price and share counts are blankNot assessable

What it means

A later filing will allow the equity value to be calculated by class. Comparisons with other companies would still be limited by the losses, the scale of commitments and the unusual share structure. This report takes no view on whether any price is high or low.

The answer

No valuation can be calculated yet because the price and share counts are blank.^[1] Once filed, the equity value would be the offer price times the Class A and Class N shares outstanding after the offering, as Class N shares carry the same economic rights as Class A.^[2] Class T stock has no economic rights, so it adds nothing to that value, while the Class F share's fixed 50.1% of votes is not reflected in economic value.^[3]^[4]

Why it is ranked here

Answers how a valuation could be worked out, without judging the price. Question 20 of the common 60.

The 4 quotes behind this finding

[2] Although our Class N common stock is not entitled to vote, it is entitled to economic rights equivalent to those of our Class A common stockRegistration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 117 →

[3] Class T common stock has no economic rights.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 244 →

[4] Our Class F common stock is entitled to a fixed 50.1% of the voting power of our outstanding capital stock as of the applicable record date on matters submitted to stockholders generally.Registration statement (Form S-1): Anthropic, PBC, filed 26 October 2026, page 289 →

About this report: sources, what the assessments mean, terms used, how it is put together

Sources and scope

Based on the registration statement on Form S-1 filed with the SEC on 26 October 2026.

This report is based only on the preliminary Form S-1 filed on 26 October 2026, with audited figures to 31 December 2025 and unaudited figures to 30 June 2026; the price range and share numbers are blank and will be set in a later amendment. Prepared on 28/10/2026; every quote checked word for word against its page by the site.

What the assessments mean

Supportive: The documents show a position that supports the business on this point. It says nothing about whether the share price is attractive.
Needs attention: The documents show something a reader should look into further. It is not a conclusion that the business is weak.
Mixed: The evidence points both ways, or is not conclusive.
Not assessable: The question matters here, but the documents do not give enough to assess it. Nothing is assumed in either direction.
Not disclosed: The documents do not give this. Missing information is not, by itself, evidence of a weak business.
Not in the documents on the site: The answer is in a document the site does not hold, not missing from the company's disclosures.
Not applicable: The question does not fit this issuer.

Assessments and takeaways describe the business as its own reports show it. They say nothing about whether the share price is attractive, and they are not advice to buy or sell.

Terms used in this report

Plain-English explanations written by What Investors Ask, not taken from any company's report. They explain what a term means and what it can tell you about a company's health now and later; they are general, not about any one company.

Dilution: A smaller ownership share because more shares have been issued. A dilution gain is an accounting gain recorded when a business's value rises as it issues shares to others.; What it can tell you: Such gains are accounting entries, not cash.
Lease: An agreement to use property or equipment for a period in return for regular payments.; What it can tell you: Lease payments are fixed costs that have to be paid even if sales fall.
Margin: Profit as a share of revenue. A 20% margin means 20 out of every 100 of sales is left as profit at that level.; What it can tell you: Rising margins suggest the business is becoming more profitable; falling margins can point to cost or price pressure.
Operating cash flow: The cash the business actually brought in from its normal activities during the year.; What it can tell you: If it stays well below profit for several years, the profit may not be turning into cash.
Unmodified audit opinion: The auditor's conclusion that the accounts give a fair view, with no reservations.; What it can tell you: Supports reliance on the figures; it is not a guarantee that every figure is right.

How this report is put together

The question numbers are the same for every issuer; the order shown is this company's order of importance, and the wording fits its business, market and country of incorporation.
Material findings come first and appear in every tier: a critical finding from a later question is brought into the first 20 and the summary. Larger tiers add explanation and evidence, not risks.
Each answer first gives what the documents disclose, then what remains uncertain.
"Not applicable" means the question does not fit; "Not assessable" and "Not disclosed" mean it matters but the documents do not settle it. No answer is forced into a reassuring one.
Amounts are shown in the currency and units the documents print them in; nothing is converted, and currencies are never mixed in a calculation.
Valuation figures are calculations on a stated basis, with their limits; nothing in the report says whether the shares are cheap, expensive or suitable to buy.

Information from the registration statement (Form S-1). It does not predict share prices or tell you whether to apply, and it is not investment advice.