FRMO Corp. Announces Fiscal 2026 Third Quarter Results and Conference Call
Rhea-AI Summary
FRMO (OTCID:FRMO) reported fiscal 2026 third quarter results for the period ended February 28, 2026, with total book value $795.2M and equity attributable to shareholders $376.7M ($8.56/share). Q3 net income attributable to the company was $83.4M ($1.89 diluted) versus a prior-year loss.
Other notable items: other income, net $308.4M for the quarter; consulting fees declined to $0.9M (-61% YoY); current assets were $46.3M and total liabilities $124.3M. Management appointed co‑CEOs Peter Doyle and Steven Bregman and CFO David Arndt; a conference call is scheduled April 21, 2026 at 4:15 PM ET.
Positive
- Total book value increased to $795.2M as of February 28, 2026
- Q3 net income attributable to company of $83.4M ($1.89 per diluted share)
- Other income, net totaled $308.4M for the quarter, driven by unrealized gains
Negative
- Consulting and advisory fees fell to $0.9M in Q3, a 61% decrease year-over-year
- Total liabilities rose to $124.3M from $95.6M at prior fiscal year end
- Digital assets fair value declined to $10.9M from $16.9M year-over-year
News Market Reaction – FRMO
In the Apr 15 session, FRMO declined 0.18%, reflecting a mild negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
AI-generated analysis. How Rhea-AI works. Not financial advice.
Consulting and advisory fees of
$0.9 million for the third quarter of 2026, a decrease of61% from 2025Consulting and advisory fees of
$2.6 million for the nine months ended February 28, 2026, a decrease of31% from the same period in 2025Other income, net of
$308.4 million for the third quarter of 2026, an increase of481% from 2025Other income, net of
$208.2 million for the nine months ended February 28, 2026, a decrease of46% from the same period in 2025
WHITE PLAINS, NY / ACCESS Newswire / April 14, 2026 / FRMO Corp. (the "Company" or "FRMO") (OTCID:FRMO) reported its financial results for the fiscal year 2026 third quarter ended February 28, 2026.
FRMO's total book value as of February 28, 2026 was
The Company's consulting and advisory fees decreased during the three and nine months ended February 28, 2026 compared to the same periods in the prior year due to fees earned from its royalty participation with Horizon Kinetics Holding Corporation. HKHC recognized significant incentive fees during the Company's three and nine months ended February 28, 2025.
Current assets, comprised primarily of cash and cash equivalents, amounted to
FRMO's net income attributable to the Company for the quarter ended February 28, 2026 was
For the nine months ended February 28, 2026, FRMO's net income attributable to the Company was
Net income attributable to the Company excluding the effect of unrealized gain or loss from equity securities and digital assets net of taxes for the three months ended February 28, 2026 was
Net income or loss attributable to the Company excluding the effect of unrealized gain or loss from equity securities and digital assets net of taxes is a measure not based on GAAP and is defined and reconciled to the most directly comparable GAAP measures in "Information Regarding Non-GAAP Measures" at the end of this release.
Valuation of securities and digital assets are subject to change after February 28, 2026. The market value of several securities and digital assets might have changed substantially since that date. We look forward to finding new ways to expand our digital assets mining operations.
The interim condensed consolidated financial statements include the accounts of FRMO Corporation and its controlled subsidiaries (collectively referred to as the "Company"). As of February 28, 2026 and May 31, 2025, the Company held a
Further details are available in the Company's Condensed Consolidated Financial Statements for the three and nine months ended February 28, 2026 and 2025. These statements have been filed on the OTC Markets Group Disclosure and News Services, which may be accessed at www.otcmarkets.com/stock/FRMO/filings. These documents are also available on the FRMO website at www.frmocorp.com.
Officer Appointment
With the appointments of Peter Doyle and Steven Bregman as co-Chief Executive Officers, the Board of Directors of the Company has also appointed David Arndt as Chief Financial Officer. Mr. Arndt has over 15 years of experience as a financial professional and CFO and also serves as a senior financial advisor to HKHC.
Conference Call
Co-CEOs Peter Doyle and Steven Bregman, and David Arndt, CFO, will host a conference call on Tuesday, April 21, 2026 at 4:15 p.m. Eastern Time. Only questions submitted to info@frmocorp.com before 9:00 p.m. on Monday, April 20, will be considered. You may register for the conference call by clicking on the following link:
Please register for FRMO 3Q 2026 Quarterly Conference Call on April 21, 2026 4:15 PM EDT at:
https://attendee.gotowebinar.com/register/1105036028876000087
After registering, you will receive a confirmation email containing information about joining the webinar.
An audio replay link will be available on the FRMO website (https://frmocorp.com/q_transcripts.html) until the summary transcript is posted.
FRMO CORPORATION AND SUBSIDIARIES
Condensed Consolidated Balance Sheets
(in thousands)
February 28, | May 31, | |||||||
2026 | 2025 | |||||||
(Unaudited) | ||||||||
Assets | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 45,590 | $ | 43,864 | ||||
Accounts receivable (due from related parties) | 553 | 1,042 | ||||||
Prepaid income taxes | - | 1,223 | ||||||
Other current assets | 142 | 176 | ||||||
Total current assets | 46,285 | 46,305 | ||||||
Digital mining assets, net of accumulated depreciation of | 16 | 1,013 | ||||||
Equity securities, at fair value | 574,202 | 408,553 | ||||||
Digital assets, at fair value | 10,911 | 16,949 | ||||||
Investments in limited partnerships and other equity investments at fair value | 233,860 | 201,529 | ||||||
Investments in securities exchanges | 14,160 | 7,947 | ||||||
Other investments | 2,661 | 469 | ||||||
Investment in Horizon Kinetics Holding Corporation | 27,187 | 20,439 | ||||||
Horizon Kinetics Holding Corporation royalty participation | 10,200 | 10,200 | ||||||
Total assets | $ | 919,482 | $ | 713,404 | ||||
Liabilities and Stockholders' Equity | ||||||||
Current liabilities: | ||||||||
Accounts payable and accrued expenses | $ | 345 | $ | 242 | ||||
Income taxes payable | 672 | - | ||||||
Current portion of mortgage note payable | - | 26 | ||||||
Securities sold, not yet purchased | 717 | 1,307 | ||||||
Total current liabilities | 1,734 | 1,575 | ||||||
Deferred tax liability | 122,588 | 93,451 | ||||||
Mortgage note payable, net of current portion | - | 622 | ||||||
Total liabilities | 124,322 | 95,648 | ||||||
Commitments and contingencies | ||||||||
Stockholders' equity | ||||||||
Stockholders' equity attributable to the Company | 376,704 | 319,551 | ||||||
Noncontrolling interests | 418,456 | 298,205 | ||||||
Total stockholders' equity | 795,160 | 617,756 | ||||||
Total liabilities and stockholders' equity | $ | 919,482 | $ | 713,404 | ||||
FRMO CORPORATION AND SUBSIDIARIES
Condensed Consolidated Statements of Operations (Unaudited)
(in thousands, except per share data)
Three Months Ended February 28, | Nine Months Ended February 28, | |||||||||||||||
2026 | 2025 | 2026 | 2025 | |||||||||||||
Revenue: | ||||||||||||||||
Consulting and advisory fees and other income | $ | 861 | $ | 2,232 | $ | 2,644 | $ | 3,849 | ||||||||
Total revenue | 861 | 2,232 | 2,644 | 3,849 | ||||||||||||
Operating expenses: | ||||||||||||||||
General and administrative expenses | 233 | 414 | 1,058 | 1,127 | ||||||||||||
Depreciation | 15 | 39 | 43 | 137 | ||||||||||||
Total operating expenses | 248 | 453 | 1,101 | 1,264 | ||||||||||||
Other income (expense) | ||||||||||||||||
Dividends and interest income, net | 1,178 | 1,268 | 3,370 | 6,710 | ||||||||||||
Net realized gains (losses) from investments | 81 | (27 | ) | 647 | (47 | ) | ||||||||||
Equity earnings from limited partnerships, limited liability companies, and other equity investments | 468 | 8,188 | 2,112 | 9,277 | ||||||||||||
Unrealized gains (losses) from investments | 58,238 | (28,546 | ) | 36,161 | 81,849 | |||||||||||
Unrealized gains (losses) from equity securities | 251,560 | (59,915 | ) | 171,373 | 282,913 | |||||||||||
Unrealized (losses) gains from digital assets | (3,843 | ) | (1,951 | ) | (6,087 | ) | 2,715 | |||||||||
Gain on sale of long-lived assets | 671 | - | 671 | - | ||||||||||||
Total other income (expense), net | 308,353 | (80,983 | ) | 208,247 | 383,417 | |||||||||||
Income (loss) from operations before provision for income taxes | 308,966 | (79,204 | ) | 209,790 | 386,002 | |||||||||||
Income tax (expense) benefit | (44,029 | ) | 13,494 | (33,225 | ) | (59,763 | ) | |||||||||
Net income (loss) | 264,937 | (65,710 | ) | 176,565 | 326,239 | |||||||||||
Less: net (income) loss attributable to noncontrolling interests | (181,584 | ) | 42,005 | (119,654 | ) | (204,898 | ) | |||||||||
Net income (loss) attributable to the Company | $ | 83,353 | $ | (23,705 | ) | $ | 56,911 | $ | 121,341 | |||||||
Net income (loss) per common share | ||||||||||||||||
Basic | $ | 1.89 | $ | (0.54 | ) | $ | 1.29 | $ | 2.76 | |||||||
Diluted | $ | 1.89 | $ | (0.54 | ) | $ | 1.29 | $ | 2.76 | |||||||
Weighted average shares outstanding | ||||||||||||||||
Basic | 44,023 | 44,023 | 44,023 | 44,023 | ||||||||||||
Diluted | 44,026 | 44,023 | 44,028 | 44,030 | ||||||||||||
About FRMO Corp.
FRMO Corp. is an intellectual capital firm that provides consulting and advisory services in the asset management sector and engages in the mining of digital assets.
FRMO had 44,022,781 shares of common stock outstanding as of February 28, 2026.
For more information, visit our website at www.frmocorp.com.
Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995 - With the exception of historical information, the matters discussed in this press release are forward-looking statements that involve a number of risks and uncertainties. Words like "believe," "expect" and "anticipate" mean that these are our best estimates as of this writing, but that there can be no assurances that expected or anticipated results or events will actually take place, so our actual future results could differ significantly from those statements. Factors that could cause or contribute to such differences include, but are not limited to: our ability to maintain our competitive advantages, the general economics of the financial industry, our ability to finance growth, our ability to identify and close acquisitions on terms favorable to the Company, and a sustainable market.
Further information on our risk factors is contained in our quarterly and annual reports as filed on our website www.frmocorp.com and on www.otcmarkets.com/stock/FRMO/filings.
Contact
Thérèse Byars
Corporate Secretary
Email: tbyars@frmocorp.com
Telephone: 646-495-7337
www.frmocorp.com
Information Regarding Non-GAAP Measures
Net income or loss attributable to the Company excluding the effect of unrealized gain or loss from equity securities and digital assets is net income or loss attributable to the Company exclusive of unrealized gains or losses from equity securities and digital assets, net of tax. Net income or loss attributable to the Company is the GAAP measure most closely comparable to net income attributable to the Company excluding the effect of unrealized gain or loss from equity securities and digital assets.
Management uses net income or loss attributable to the Company excluding the effect of unrealized gain or loss from equity securities and digital assets, along with other measures, to gauge the Company's performance and evaluate results, which can be skewed when including unrealized gain or loss from equity securities and digital assets, which may vary significantly between periods. Net income or loss attributable to the Company excluding the effect of unrealized gain or loss from equity securities is provided as supplemental information, and is not a substitute for net income or loss attributable to the Company and does not reflect the Company's overall profitability.
The following table reconciles the net income or loss attributable to the Company excluding the effect of unrealized gain or loss from equity securities and digital assets to net income or loss attributable to the Company (in thousands) for the periods indicated:
Three Months Ended February 28, | Nine Months Ended February 28, | |||||||||||||||||||||||||
2026 | 2025 | 2026 | 2025 | |||||||||||||||||||||||
Amount | Diluted earnings (loss) per common share | Amount | Diluted earnings (loss) per common share | Amount | Diluted earnings (loss) per common share | Amount | Diluted earnings (loss) per common share | |||||||||||||||||||
(Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | |||||||||||||||||||||||
Net Income (Loss) Attributable to the Company Excluding the Effect of Unrealized Gain (Loss) from Equity Securities and Digital Assets, and Diluted Earnings per Common Share Reconciliation: | ||||||||||||||||||||||||||
Net income (loss) attributable to the Company | $ | 83,353 | $ | 1.89 | $ | (23,705 | ) | $ | (0.54 | ) | $ | 56,911 | $ | 1.29 | $ | 121,341 | $ | 2.76 | ||||||||
Unrealized gain (loss) from equity securities and digital assets | 252,231 | (59,915 | ) | 172,044 | 282,913 | |||||||||||||||||||||
Unrealized gain (loss) from equity securities and digital assets attributable to noncontrolling interests | 180,985 | (42,654 | ) | 117,869 | 201,024 | |||||||||||||||||||||
Unrealized gain (loss) from equity securities and digital assets attributable to the Company | 71,246 | (17,261 | ) | 54,175 | 81,889 | |||||||||||||||||||||
Tax (provision) benefit on unrealized gain (loss) from equity securities and digital assets attributable to the company | (4,774 | ) | 2,709 | (3,254 | ) | (9,386 | ) | |||||||||||||||||||
Unrealized gain (loss) from equity securities and digital assets attributable to the Company, net of taxes | 66,472 | $ | 1.51 | (14,552 | ) | $ | (0.33 | ) | 50,921 | $ | 1.16 | 72,503 | $ | 1.65 | ||||||||||||
Net income (loss) attributable to the Company excluding the effect of unrealized gain (loss) gain from equity securities and digital assets | $ | 16,881 | $ | 0.38 | $ | (9,153 | ) | $ | (0.21 | ) | $ | 5,990 | $ | 0.14 | $ | 48,838 | $ | 1.11 | ||||||||
Weighted average diluted shares outstanding | 44,026 | 44,023 | 44,028 | 44,030 | ||||||||||||||||||||||
SOURCE: FRMO Corp
View the original press release on ACCESS Newswire