BRC Group Holdings, Inc. Reports Second Quarter 2026 Financial Results
Rhea-AI Summary
BRC Group Holdings (Nasdaq: RILY) reported second quarter 2026 net income available to common shareholders of $18.5 million ($0.45 per diluted share) versus $137.5 million a year earlier, mainly reflecting large prior-year discontinued operations and a senior note exchange gain. Q2 revenues rose to $239.1 million from $225.3 million, while Q2 Adjusted EBITDA was $61.3 million and Operating Adjusted EBITDA $66.0 million. For the first six months of 2026, revenues increased 44% to $591.2 million, net income reached $229.8 million ($6.47 per diluted share), and Adjusted EBITDA grew to $323.4 million from $14.7 million. Net Debt fell by $341.7 million to $285.2 million and Total Investments rose to $804.5 million, according to BRC Group Holdings.
Positive
- Year-to-date revenues up 44% to $591.2 million
- Year-to-date net income up 83% to $229.8 million
- Year-to-date Adjusted EBITDA $323.4 million vs. $14.7 million
- Net Debt reduced by $341.7 million to $285.2 million
- Total Investments increased to $804.5 million from $520.5 million
- Capital Markets six-month income $150.4 million vs. $(18.5) million
- Wealth Management Q2 income $17.5 million vs. $(1.3) million
- Communications Business Group Q2 income up to $14.0 million from $11.4 million
- Consumer Products six-month loss narrowed to $(8.3) million from $(11.0) million
Negative
- Q2 net income down to $18.5 million from $137.5 million
- Capital Markets Q2 revenues $53.7 million vs. $61.3 million
- Communications Business Group Q2 revenues $57.6 million vs. $62.2 million
- Lingo six-month revenues declined to $79.6 million from $81.5 million
- magicJack six-month revenues declined to $17.4 million from $19.6 million
- Marconi Wireless six-month revenues declined to $14.9 million from $18.7 million
- Cash and restricted cash decreased to $155.6 million from $229.3 million
- Consumer Products remains loss-making with Q2 loss of $(5.7) million
News Explained
The report uses an updated Operating Adjusted EBITDA definition, consistently applied to comparable periods, that excludes income or loss from Great American Holdings and certain investment gains and losses attributable to non-controlling interests. This changes how the reported operating metric is presented, not the underlying cash or ownership mechanics.
Key Figures
Previous Earnings Reports
| Date | Event | Sentiment | 24h Move | Catalyst |
|---|---|---|---|---|
| May 07 | First-quarter earnings | Positive | -5.9% | Strong quarterly income, EBITDA, revenue growth, and debt reduction were reported. |
| Apr 30 | Earnings call notice | Neutral | +13.6% | The company scheduled its first-quarter results discussion and analyst question-and-answer session. |
| Apr 29 | Full-year earnings | Positive | -1.3% | Full-year revenue, income, transactions, liquidity, and dividend details were disclosed. |
| Mar 31 | Full-year earnings | Positive | -6.2% | Full-year income, EBITDA, debt reduction, investment growth, and compliance progress were reported. |
| Mar 17 | Earnings call notice | Neutral | -5.0% | The company announced its fourth-quarter and full-year results conference call date. |
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Tag-specific earnings events showed predominantly negative price reactions despite several releases reporting strong financial results.
Key Terms
adjusted ebitda financial
operating adjusted ebitda financial
net debt financial
non-gaap financial measures financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
Second Quarter 2026 Net Income Available to Common Shareholders of
Second Quarter 2026 Adjusted EBITDA of
Second Quarter and Six Months Ended June 30, 2026 Highlights
- Revenues: Year-to-date revenues increased
44% to$591.2 million $239.1 million $225.3 million - Net Income: Year-to-date net income available to common shareholders increased
83% to$229.8 million $6.47 $18.5 million $137.5 million - Adjusted EBITDA(3): Year-to-date Adjusted EBITDA increased to
$323.4 million $14.7 million $61.3 million $66.0 million - Debt Reduction: Total Debt decreased by
$150.7 million $1.28 billion $341.7 million $285.2 million - Investment Portfolio: Total Investments(6) increased to
$804.5 million $723.7 million - Talent Recruiting: Five senior producers added to B. Riley Securities during the quarter, including three key alumni.
Bryant Riley, Chairman and Co-Chief Executive Officer, commented:
"For the second quarter, we generated
"B. Riley Securities delivered a strong quarter, translating deepened client relationships into deal execution, and drawing senior talent to the firm. We participated in transactions representing over
"A core differentiator of our platform is our ability to convene the market and surface proprietary ideas. In May, our 26th Annual Institutional Investor Conference brought issuers and investors together around approximately 180 companies, alongside our 15th 'Big Fighters, Big Cause' charitable gala. Our focus remains on execution and creative capital deployment to deliver for our colleagues, clients, partners, and shareholders, and we look forward to carrying this momentum into our Consumer TMT Conference in
Second Quarter and Six Months Ended June 30, 2026 Financial Summary
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||
(Dollars in thousands, except for per share data) | 2026 | 2025 | 2026 | 2025 | |||||
Net income available to common shareholders | $ 18,534 | $ 137,456 | $ 229,792 | $ 125,466 | |||||
Basic income per common share | $ 0.49 | $ 4.50 | $ 6.59 | $ 4.11 | |||||
Diluted income per common share | $ 0.45 | $ 4.50 | $ 6.47 | $ 4.11 | |||||
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||
(Dollars in thousands) | 2026 | 2025 | 2026 | 2025 | |||||
Operating Revenues (1) | $ 239,360 | $ 208,352 | $ 456,551 | $ 421,878 | |||||
Investment Gains (Losses) (2) | (243) | 16,950 | 134,626 | (10,513) | |||||
Total Revenues | $ 239,117 | $ 225,302 | $ 591,177 | $ 411,365 | |||||
Total Adjusted EBITDA (3) | $ 61,250 | $ 60,015 | $ 323,401 | $ 14,698 | |||||
Operating Adjusted EBITDA (4) | $ 66,032 | $ 43,282 | $ 100,412 | $ 38,345 | |||||
- Net income available to common shareholders was
$18.5 million $0.45 $137.5 million $4.50 $229.8 million $6.47 $125.5 million $4.11 - Revenues were
$239.1 million $225.3 million 50% year-over-year increase in Wealth Management segment revenues. For the six months 2026, revenues increased44% to$591.2 million $411.4 million - Adjusted EBITDA(3) was
$61.3 million $60.0 million $323.4 million $14.7 million - Operating Adjusted EBITDA(4) was
$66.0 million $43.3 million $100.4 million $38.3 million - Net Debt(5) decreased to
$285.2 million $627.0 million $341.7 million $1.28 billion $1.43 billion - Cash, cash equivalents, and restricted cash totaled
$155.6 million $229.3 million - Total Investments(6) increased to
$804.5 million $520.5 million $723.7 million $446.8 million
Segment Operations Second Quarter and Six Months Ended June 30, 2026 Financial Results Summary
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||
(Dollars in thousands) | 2026 | 2025 | 2026 | 2025 | |||||
Segment Revenues | |||||||||
Capital Markets | $ 53,712 | $ 61,292 | $ 225,823 | $ 63,392 | |||||
Wealth Management | 57,953 | 38,621 | 110,128 | 85,899 | |||||
Lingo | 38,788 | 39,907 | 79,578 | 81,460 | |||||
magicJack | 8,567 | 9,777 | 17,350 | 19,578 | |||||
Marconi Wireless | 7,368 | 9,232 | 14,905 | 18,719 | |||||
UOL | 2,881 | 3,287 | 5,702 | 6,920 | |||||
Consumer Products | 43,537 | 43,284 | 87,652 | 85,387 | |||||
Segment Income (Loss) | |||||||||
Capital Markets | $ 13,118 | $ 17,220 | $ 150,353 | $ (18,523) | |||||
Wealth Management | 17,518 | (1,319) | 33,502 | 405 | |||||
Lingo | 5,319 | 2,927 | 9,083 | 5,326 | |||||
magicJack | 4,173 | 5,090 | 8,424 | 9,706 | |||||
Marconi Wireless | 2,997 | 1,805 | 6,074 | 3,549 | |||||
UOL | 1,489 | 1,550 | 2,962 | 3,404 | |||||
Consumer Products | (5,692) | (5,904) | (8,333) | (11,045) | |||||
- Capital Markets: Segment revenues were
$53.7 million $61.3 million $13.1 million $17.2 million $225.8 million $63.4 million $150.4 million $(18.5) million - Wealth Management: Segment revenues increased to
$58.0 million $38.6 million $17.5 million $(1.3) million $110.1 million $85.9 million $33.5 million $0.4 million $12.1 billion - Communications Business Group ("CBG") (Lingo, magicJack, Marconi Wireless, and UOL Reportable Segments): On a combined basis, CBG revenues were
$57.6 million $62.2 million $14.0 million $11.4 million $117.5 million $126.7 million $26.5 million $22.0 million - Consumer Products: Segment revenues increased to
$43.5 million $43.3 million $(5.7) million $(5.9) million $87.7 million $85.4 million $(8.3) million $(11.0) million
Change in Non-GAAP Measures Presentation
The Company has updated its Operating Adjusted EBITDA calculation with adjustments that management believes better bifurcate investments from operating businesses and reflect true core operational performance. The updated calculation, applied consistently across all comparable periods, now excludes income and loss related to the Company's equity investment in Great American Holdings, LLC, as well as the non-controlling interest associated with investment gains and losses attributable to B. Riley Securities Holdings, Inc. and its subsidiaries.
Earnings Call
Management will discuss the Company's financial performance and operational highlights, followed by a question-and-answer session with analysts and investors.
Date: Thursday, August 6, 2026
Time: 4:30 p.m. ET (1:30 p.m. PT)
Link: https://ir.brcgh.com/events-and-presentations
Investors may access the call via the Company's website at ir.brcgh.com under "Events and Presentations." A replay of the call will be available at the same location until Thursday, August 20, 2026.
About BRC Group Holdings, Inc.
BRC Group Holdings, Inc. (Nasdaq: RILY) is a diversified holding company, including financial services, communications, and retail, and investments in equity, debt and venture capital. Our core financial services platform provides small cap and middle market companies customized end-to-end solutions at every stage of the enterprise life cycle. Our banking business offers comprehensive services in capital markets, sales, trading, research, merchant banking, M&A, and restructuring. Our wealth management business offers wealth management and financial planning services including brokerage, investment management, insurance, and tax preparation. Our communications businesses provide consumer and business services including traditional, mobile and cloud phone, internet and data, security, and email. Our retail businesses provide mobile computing accessories and home furnishings. BRCGH deploys its capital inside and outside its core financial services platform to generate shareholder value through opportunistic investments. For more information, please visit www.brcgh.com.
Note Regarding Use of Non-GAAP Financial Measures
Certain of the information set forth herein, including Operating Revenue, Investment Gains (Losses), Adjusted EBITDA, Operating Adjusted EBITDA, Total Investments, and Net Debt, may be considered non-GAAP financial measures. BRC Group Holdings, Inc. believes this information is useful to investors because it provides a basis for measuring the Company's available capital resources, the operating performance of its business and its revenues and cash flow, (i) including in the case of Operating Revenue, services and fees, interest income – loans, interest income - securities lending, fixed income spread, trading gains attributable to variable rate transaction spread, and sales of goods; (ii) including in the case of Investment Gains (Losses), trading gains (losses), net and fair value adjustments on loans, less fixed income spread and trading gains attributable to variable rate transaction spread; (iii) excluding in the case of Adjusted EBITDA, net interest expense, provisions for or benefit from income taxes, depreciation, amortization, restructuring charge, gain or loss on extinguishment of debt, gain on bargain purchase, gain on sale and deconsolidation of businesses, gain on senior note exchange, impairment of goodwill and tradenames, share-based compensation and transaction related and other costs; (iv) excluding in the case of Operating Adjusted EBITDA, the aforementioned adjustments for adjusted EBITDA as well as trading gains (losses), net, net of fixed income and variable rate transaction spread, fair value adjustments on loans, realized and unrealized gains (losses) on investments net of variable rate transaction spread, gains (losses) on investments attributable to non-controlling interest, and income (loss) related to the Company's equity investment in Great American Holdings, LLC; (v) including in the case of Total Investments, securities and other investments owned net of (a) securities sold not yet purchased, at fair value and (b) noncontrolling interest related to investments from continuing operations, loans receivable, at fair value net of loan participations sold, equity investments, and other investments reported in prepaid and other assets; and (vi) including in the case of Net Debt, term loans, net, senior notes payable, net, revolving credit facility, and notes payable net of (a) cash and cash equivalents, (b) restricted cash, (c) due from clearing brokers net of due to clearing brokers, and (d) aforementioned included items of Total Investments, that would normally be included in the most directly comparable measures calculated and presented in accordance with Generally Accepted Accounting Principles ("GAAP"). In addition, the Company's management uses these non-GAAP financial measures along with the most directly comparable GAAP financial measures in evaluating the Company's operating performance, management compensation, capital resources, and cash flow. Non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information presented in compliance with GAAP, and non-GAAP financial measures as reported by the Company may not be comparable to similarly titled amounts reported by other companies.
Footnotes
See "Note Regarding Use of Non-GAAP Financial Measures" for further discussion of these non-GAAP terms. A reconciliation of Operating Revenues, Investment Gains (Losses), Adjusted EBITDA, Operating Adjusted EBITDA, Total Investments, and Net Debt to the comparable GAAP financial measures is included in the financial statements portion of this press release.
(1) | Operating Revenues is defined as the sum of (i) service and fees, (ii) interest income – loans, (iii) interest income - securities lending, (iv) fixed income spread, (v) trading gains attributable to variable rate transaction spread, and (vi) sales of goods. |
(2) | Investment Gains (Losses) is defined as the sum of (i) trading gains (losses), net and (ii) fair value adjustments on loans, less fixed income spread and trading gains attributable to variable rate transaction spread. |
(3) | Adjusted EBITDA includes earnings from continuing operations before interest, taxes, depreciation, amortization, restructuring charge, share-based payments, gain or loss on extinguishment of debt, gain on bargain purchase, gain on sale and deconsolidation of businesses, gain on senior note exchange, impairment of goodwill and tradenames, and transaction related and other costs. |
(4) | Operating Adjusted EBITDA is defined as Adjusted EBITDA excluding (i) trading gains (losses), net, net of fixed income and variable rate transaction spread, (ii) fair value adjustments on loans, (iii) realized and unrealized gains (losses) on investments net of variable rate transaction spread, and (iv) gains (losses) on investments attributable to non-controlling interest, and (v) income (loss) from the Company's equity investment in Great American Holdings, LLC. |
(5) | Net Debt is defined as the sum of (a) term loans, net, (b) senior notes payable, net, (c) revolving credit facility, and (d) notes payable, net of (i) cash and cash equivalents, (ii) restricted cash, (iii) due from clearing brokers net of due to clearing brokers, and (iv) Total Investments. |
(6) | Total Investments is defined as the sum of (a) securities and other investments owned net of (i) securities sold not yet purchased, at fair value and (ii) noncontrolling interest related to investments from continuing operations, (b) loans receivable, at fair value net of loan participations sold, (c) equity investments, and (d) other investments reported in prepaid and other assets. |
Forward-Looking Statements
Statements made in this press release that are not descriptions of historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding our expected future financial and operational results; our expectations regarding the continued strength, deal execution, and operating leverage of our core businesses; and our ability to execute on disciplined capital allocation and further debt reduction. These statements are based on management's current expectations and assumptions and are subject to risks and uncertainties, many beyond the Company's control, that could cause the Company's performance and actual results to differ materially. Such risks include, but are not limited to: macroeconomic conditions, including interest rate fluctuations and inflation; market volatility and its direct impact on our Capital Markets and Wealth Management segments; the episodic nature of our capital markets business and the unpredictable timing of transaction closings; our ability to maintain disciplined operating leverage and reliable cash conversion across our operating segments; our ability to successfully execute our merchant banking strategies and the impact of market conditions on our investment portfolio; changes in regulatory and legal environments affecting our operating units; and the risks described from time to time in the Company's periodic filings with the SEC, including, without limitation, the risks described in the Company's 2025 Annual Report on Form 10-K, its Quarterly Report on Form 10-Q for the quarter ended March 31, 2026, and its Quarterly Report on Form 10-Q for the quarter ended June 30, 2026. Forward-looking statements speak only as of the date of this press release, and the Company undertakes no obligation to update them, except as required by law.
BRC GROUP HOLDINGS, INC. | |||
Condensed Consolidated Balance Sheets | |||
(Dollars in thousands, except share and par value) | |||
June 30, | December 31, | ||
(Unaudited) | |||
Assets | |||
Assets: | |||
Cash and cash equivalents | $ 154,112 | $ 226,601 | |
Restricted cash | 1,530 | 2,676 | |
Due from clearing brokers | 31,706 | 51,000 | |
Securities and other investments owned ( | 723,715 | 446,843 | |
Securities borrowed | 206,717 | 114,937 | |
Accounts receivable, net of allowance for credit losses of | 61,382 | 55,473 | |
Loans receivable, at fair value ( | 38,802 | 26,303 | |
Equity investments | 84,817 | 90,433 | |
Prepaid expenses and other assets | 110,862 | 128,650 | |
Operating lease right-of-use assets | 38,476 | 32,109 | |
Property and equipment, net | 17,850 | 17,606 | |
Goodwill | 392,687 | 392,687 | |
Other intangible assets, net | 101,867 | 118,290 | |
Deferred income taxes | 794 | 763 | |
Assets of discontinued operations | 2,221 | 2,221 | |
Total assets | $ 1,967,538 | $ 1,706,592 | |
Liabilities and Equity (Deficit) | |||
Liabilities: | |||
Accounts payable | $ 35,475 | $ 41,463 | |
Accrued expenses and other liabilities ( | 156,333 | 154,780 | |
Deferred revenue | 46,985 | 49,907 | |
Deferred income taxes | 4,642 | 4,109 | |
Securities sold not yet purchased, at fair value | 9,487 | 9,809 | |
Securities loaned | 189,192 | 97,321 | |
Operating lease liabilities | 46,307 | 40,902 | |
Revolving credit facilities | 31,316 | 6,638 | |
Term loans, net | 115,770 | 119,297 | |
Senior notes payable, net | 1,129,966 | 1,301,798 | |
Liabilities of discontinued operations | 830 | 830 | |
Total liabilities | 1,766,303 | 1,826,854 | |
Commitments and contingencies | |||
BRC Group Holdings, Inc. stockholders' equity (deficit): | |||
Preferred stock, | — | — | |
Common stock, | 4 | 3 | |
Additional paid-in capital | 680,097 | 598,022 | |
Accumulated deficit | (529,464) | (763,286) | |
Accumulated other comprehensive loss | (8,468) | (6,272) | |
Total BRC Group Holdings, Inc. stockholders' equity (deficit) | 142,169 | (171,533) | |
Noncontrolling interests | 59,066 | 51,271 | |
Total equity (deficit) | 201,235 | (120,262) | |
Total liabilities and equity (deficit) | $ 1,967,538 | $ 1,706,592 | |
BRC GROUP HOLDINGS, INC. | |||||||
Condensed Consolidated Statements of Operations | |||||||
(Unaudited) | |||||||
(Dollars in thousands, except share and per share data) | |||||||
Three Months Ended | Six Months Ended | ||||||
2026 | 2025 | 2026 | 2025 | ||||
Revenues: | |||||||
Services and fees ( | $ 173,595 | $ 145,772 | $ 325,717 | $ 304,611 | |||
Trading gains, net | 12,874 | 27,680 | 157,935 | 11,509 | |||
Fair value adjustments on loans ( | 4,245 | 800 | 10,790 | (7,296) | |||
Interest income - loans ($— and | 2,171 | 3,853 | 3,885 | 7,049 | |||
Interest income - securities lending | 1,632 | 2,124 | 2,883 | 2,964 | |||
Sale of goods | 44,600 | 45,073 | 89,967 | 92,528 | |||
Total revenues | 239,117 | 225,302 | 591,177 | 411,365 | |||
Operating expenses: | |||||||
Direct cost of services | 29,364 | 33,216 | 61,066 | 75,916 | |||
Cost of goods sold | 31,361 | 35,113 | 63,726 | 71,846 | |||
Selling, general and administrative expenses | 133,377 | 142,369 | 267,725 | 309,757 | |||
Restructuring charge | 1,914 | 321 | 1,914 | 321 | |||
Impairment of tradename | 4,000 | 1,500 | 4,000 | 1,500 | |||
Interest expense - Securities lending and loan participations sold | 906 | 1,968 | 1,623 | 2,687 | |||
Total operating expenses | 200,922 | 214,487 | 400,054 | 462,027 | |||
Operating income (loss) | 38,195 | 10,815 | 191,123 | (50,662) | |||
Other income (expense): | |||||||
Interest income | 339 | 492 | 697 | 1,978 | |||
Dividend income | 133 | 122 | 802 | 257 | |||
Realized and unrealized gains (losses) on investments | 12,092 | 10,216 | 117,192 | (4,284) | |||
Change in fair value of financial instruments and other | 1,546 | 11,884 | (2,881) | 12,806 | |||
Gain on sale and deconsolidation of businesses | — | 5,372 | — | 86,213 | |||
Gain on senior note exchange | — | 44,454 | — | 54,986 | |||
(Loss) income from equity investments | (5,459) | 25,603 | (4,133) | 25,051 | |||
(Loss) gain on extinguishment of debt | (1,283) | (10,266) | 1,607 | (20,693) | |||
Interest expense | (18,016) | (23,952) | (37,810) | (53,916) | |||
Income from continuing operations before income taxes | 27,547 | 74,740 | 266,597 | 51,736 | |||
Provision for income taxes | (5,950) | (3,053) | (22,841) | (11) | |||
Income from continuing operations | 21,597 | 71,687 | 243,756 | 51,725 | |||
Income from discontinued operations, net of income taxes | — | 69,312 | — | 72,707 | |||
Net income | 21,597 | 140,999 | 243,756 | 124,432 | |||
Net income (loss) attributable to noncontrolling interests | 1,048 | 1,528 | 9,934 | (5,064) | |||
Net income attributable to BRC Group Holdings, Inc. | $ 20,549 | $ 139,471 | $ 233,822 | $ 129,496 | |||
Preferred stock dividends | 2,015 | 2,015 | 4,030 | 4,030 | |||
Net income available to common shareholders | $ 18,534 | $ 137,456 | $ 229,792 | $ 125,466 | |||
Basic net income per common share: | |||||||
Continuing operations | $ 0.49 | $ 2.23 | $ 6.59 | $ 1.73 | |||
Discontinued operations | — | 2.27 | — | 2.38 | |||
Basic income per common share | $ 0.49 | $ 4.50 | $ 6.59 | $ 4.11 | |||
Diluted net income per common share: | |||||||
Continuing operations | $ 0.45 | $ 2.23 | $ 6.47 | $ 1.73 | |||
Discontinued operations | — | 2.27 | — | 2.38 | |||
Diluted income per common share | $ 0.45 | $ 4.50 | $ 6.47 | $ 4.11 | |||
Weighted average basic common shares outstanding | 37,811,031 | 30,527,835 | 34,879,728 | 30,512,757 | |||
Weighted average diluted common shares outstanding | 38,422,185 | 30,527,835 | 35,311,001 | 30,512,757 | |||
BRC GROUP HOLDINGS, INC. | |||||||
Operating Revenues Reconciliation | |||||||
(Unaudited) | |||||||
(Dollars in thousands) | |||||||
Three Months Ended | Six Months Ended | ||||||
2026 | 2025 | 2026 | 2025 | ||||
Total revenues | $ 239,117 | $ 225,302 | $ 591,177 | $ 411,365 | |||
Operating revenues adjustments: | |||||||
Trading gains, net | (12,874) | (27,680) | (157,935) | (11,509) | |||
Fair value adjustments on loans | (4,245) | (800) | (10,790) | 7,296 | |||
Fixed income and trading gains attributable to variable rate transactions spread | 17,362 | 11,530 | 34,099 | 14,726 | |||
Total operating revenue adjustments | 243 | (16,950) | (134,626) | 10,513 | |||
Operating revenues | $ 239,360 | $ 208,352 | $ 456,551 | $ 421,878 | |||
BRC GROUP HOLDINGS, INC. | |||||||
Adjusted EBITDA and Operating Adjusted EBITDA Reconciliations | |||||||
(Unaudited) | |||||||
(Dollars in thousands) | |||||||
Three Months Ended | Six Months Ended | ||||||
2026 | 2025 | 2026 | 2025 | ||||
Net income attributable to BRC Group Holdings, Inc. | $ 20,549 | $ 139,471 | $ 233,822 | $ 129,496 | |||
Income from discontinued operations, net of income taxes | — | 69,312 | — | 72,707 | |||
Net (income) loss attributable to noncontrolling interests | (1,048) | (1,528) | (9,934) | 5,064 | |||
Income from continuing operations | 21,597 | 71,687 | 243,756 | 51,725 | |||
EBITDA Adjustments: | |||||||
Net (income) loss from continuing operations attributable to noncontrolling interests | (1,048) | (1,528) | (9,934) | 5,064 | |||
Provision for income taxes | 5,950 | 3,053 | 22,841 | 11 | |||
Interest expense | 18,016 | 23,952 | 37,810 | 53,916 | |||
Interest income | (339) | (492) | (697) | (1,978) | |||
Share based payments | 3,226 | 4,234 | 5,666 | 7,580 | |||
Depreciation and amortization | 7,548 | 8,648 | 15,137 | 18,645 | |||
Restructuring charge | 1,914 | 321 | 1,914 | 321 | |||
Gain on sale and deconsolidation of businesses | — | (5,372) | — | (86,213) | |||
Gain on senior note exchange | — | (44,454) | — | (54,986) | |||
Loss (gain) on extinguishment of debt | 1,283 | 10,266 | (1,607) | 20,693 | |||
Impairment of tradename | 4,000 | 1,500 | 4,000 | 1,500 | |||
Transactions related costs and other | (897) | (11,800) | 4,515 | (1,580) | |||
Total EBITDA adjustments | 39,653 | (11,672) | 79,645 | (37,027) | |||
Adjusted EBITDA | $ 61,250 | $ 60,015 | $ 323,401 | $ 14,698 | |||
Operating EBITDA Adjustments: | |||||||
Trading gains, net | $ (12,874) | $ (27,680) | $ (157,935) | $ (11,509) | |||
Fair value adjustments on loans | (4,245) | (800) | (10,790) | 7,296 | |||
Realized and unrealized (gains) losses on investments | (12,092) | (10,216) | (117,192) | 4,284 | |||
Fixed income and variable rate transaction spread | 27,984 | 16,913 | 45,798 | 20,109 | |||
Loss attributable to equity method investment in Great American Holdings, LLC | 5,827 | 3,190 | 5,505 | 3,639 | |||
Gains (losses) on investments attributable to non-controlling interest | 182 | 1,860 | 11,625 | (172) | |||
Total Operating EBITDA Adjustments | 4,782 | (16,733) | (222,989) | 23,647 | |||
Operating Adjusted EBITDA | $ 66,032 | $ 43,282 | $ 100,412 | $ 38,345 | |||
BRC GROUP HOLDINGS, INC. | |||
Total Investments and Net Debt Reconciliation | |||
(Unaudited) | |||
(Dollars in thousands) | |||
June 30, | December 31, | ||
Cash, cash equivalents, and restricted cash | $ 155,642 | $ 229,277 | |
Due from clearing brokers | 31,706 | 51,000 | |
Securities and other investments owned | 723,715 | 446,843 | |
Securities sold not yet purchased, at fair value | (9,487) | (9,809) | |
Loans receivable, at fair value | 38,802 | 26,303 | |
Equity investments | 84,817 | 90,433 | |
Noncontrolling interest | (33,390) | (33,305) | |
Total investments | 804,457 | 520,465 | |
Revolving credit facilities | 31,316 | 6,638 | |
Term loans, net | 115,770 | 119,297 | |
Senior notes payable, net | 1,129,966 | 1,301,798 | |
Total debt | 1,277,052 | 1,427,733 | |
Net debt | $ 285,247 | $ 626,991 | |
Contacts
Investors
Mike Frank
mfrank@brcgh.com
Media
Jo Anne McCusker
press@brcgh.com
View original content:https://www.prnewswire.com/news-releases/brc-group-holdings-inc-reports-second-quarter-2026-financial-results-302845260.html
SOURCE BRC Group Holdings, Inc.