Netcapital (NCPL) Q2 2026 earnings summary

Executive summary

• Revenue for Q2 FY2026 was $51,076, down from $170,528 in Q2 FY2025, mainly due to lower portal fees and reduced funding portal activity.

• Operating loss was $2,119,457, a slight improvement from $2,202,431 in the prior year quarter.

• Loss per share improved to $0.44 from $2.34 year-over-year.

• The company is pivoting to focus on its core fintech platform, leveraging its broker-dealer license, and expanding into blockchain and tokenized asset markets.

• Strategic acquisitions, including Rivetz and Horizon, are intended to support a shift toward tokenized asset offerings and blockchain integration.

Financial highlights

• Q2 FY2026 revenue: $51,076, compared to $170,528 in Q2 FY2025.

• Operating loss: $2,119,457, versus $2,202,431 in the prior year.

• Loss per share: $0.44, improved from $2.34 year-over-year.

• Cash and cash equivalents at quarter-end: $1,684,188.

• Gross profit for Q2 FY26 was $1,877, compared to $19,781 in the prior-year quarter.

Outlook and guidance

• Management expects future revenue growth from leveraging the broker-dealer for Reg A offerings and expanding into tokenized assets.

• Anticipates high-margin revenue streams from compliant utility token sales and diversified growth from blockchain and tokenized asset markets.

• Regulatory environment for tokenized assets is viewed as favorable.

• Management expresses substantial doubt about the company's ability to continue as a going concern due to recurring losses and negative cash flow.

• Plans to operate with lower fixed overhead and seek additional capital.