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5 Q2 F I N A N C I A L H I G H L I G H T S FY 2026 C A RY, N O RT H C A R O L I N A F Y 2 0 26 2 N D Q U A R T E R R E P O R T F Y 2 0 2 6 S E C O N D Q U A RT E R F I N A N C I A L R E S U LT S G E N E R A L F U N D F Y 2 0 2 6 Q 2 G E N E R A L F U N D S U M M A RY FY 2026 ADJ BUDGET FY 2026 YTD ACTUAL % OF BUDGET FY 2025 YTD ACTUAL CHANGE FROM PRIOR YEAR ($) CHANGE FROM PRIOR YEAR (%) Revenues $ 298.9 $ 184.3 62% $ 169.7 $ 14.6 9% Expenditures 298.9 141.9 47% 150.0 (8.1) -5% T O TA L R E V E N U E OV E R / ( U N D E R ) E X P E N D I T U R E S $ – $ 4 2 . 4 – $ 19. 7 $ 2 2 . 7 > 10 0 % * The above and following tables are represented in millions. Revenues, authorized expenditures, and transfers between funds are classified and summarized differently for the Council budget ordinance and for accounting and reporting purposes. Individual line items are consistent. The annual budgets referred to throughout this report reflect the budget as of the quarter end as adjusted (ADJ) by Council action or staff action where authorized. Net results for the second quarter were positive when compared with the same period last year. Revenues increased by 9% and were driven primarily by the stability and predictability of property tax receipts included in the FY 2026 budget. At the same time, expenditures declined by 5% and reflected the continued focus on closely monitoring expenses. The resulting General Fund surplus at midyear helps ensure stability with rating agencies, supports Cary's capital goals, and strengthens the overall financial position. The following sections provide additional detail on the key variances that contributed to these year-over-year changes.

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