DNA X (SONM) Q2 2026 earnings summary

Executive summary

• Completed sale of legacy phone and hotspot business on January 23, 2026, for $15 million, shifting focus to cryptocurrency and AI-driven trading platform development.

• Acquired full control of DNA X LLC on May 26, 2026, consolidating its operations and assets.

• Secured $1.8 million in Q2 2026 via convertible debt and $5 million post-quarter through preferred stock sales, strengthening liquidity.

• Converted $3.1 million outstanding note to preferred stock, optimizing the balance sheet.

• Platform enhancements underway, with relaunch targeted for late Q3 or Q4 2026.

Financial highlights

• Net income for six months ended June 30, 2026, was $5.1 million, compared to a net loss of $7.0 million in the prior year.

• Net loss from continuing operations was $5.2 million for the first half of 2026, while discontinued operations contributed $10.3 million in income, mainly from the asset sale.

• General and administrative expenses rose to $4.9 million for the six months, up from $2.3 million year-over-year, driven by severance and executive compensation.

• Interest expense decreased to $271,000 from $480,000 year-over-year due to debt repayments.

• Ended Q2 2026 with $900,000 in cash; $5 million in cash raised after quarter end.

Outlook and guidance

• $5 million in new capital from preferred stock sales expected to fund platform enhancements and obligations for at least 12 months.

• Revenue from the AI trading platform is expected to begin towards the end of Q3 2026 or the start of Q4 2026.

• Platform relaunch and new features anticipated to drive future revenue growth.