Obook (OWLS) Q2 2026 earnings summary

Executive summary

• Transitioned from infrastructure build-out to commercialization of stablecoin-enabled payments in H1 2026, with post-period data showing accelerated enterprise adoption and transaction activity.

• Focus shifted to scaling production, expanding enterprise client base, and deepening settlement network capabilities across multiple regions.

• Strategic emphasis on production conversion, utilization, economics, and network expansion as key growth drivers.

• OwlPay Harbor processed volume grew more than fivefold quarter over quarter in Q2 2026, reaching a record high in July, with the first three weeks already surpassing June's total.

• Cumulative processed payment volume on OwlPay surpassed US$600 million as of June 30, 2026, with monthly volume increasing every month since early 2026.

Financial highlights

• H1 2026 total revenue was $3.87 million, nearly flat compared to $3.84 million in H1 2025.

• Payment service revenue was $2.11 million (down from $2.17 million), while hospitality software revenue rose 24% to $0.8 million.

• Reported gross margin declined to 6.4% from 12.5% due to share-based compensation; adjusted gross margin improved to 15.3%.

• Net loss widened to $18.82 million from $3.91 million, driven by $10.4 million in non-cash share-based compensation and $2.5 million in finance costs.

• Processed payment volume on the OwlPay platform exceeded US$600 million cumulatively by June 30, 2026.

Outlook and guidance

• Long-term revenue target of $500 million annually by 2030 for stablecoin-enabled payment services remains unchanged.

• H2 2026 expected to show clearer progression in recurring revenue, gross profit, and operating leverage as more clients enter production.

• Cumulative processed payment volume target for 2026 set to exceed $1 billion.

• Long-term gross margin target for stablecoin payment business is 65%-70% at scale.

• OwlTing expects Mainland China, India, and Japan to become increasingly important contributors to payment volume in coming quarters.