Hyperliquid Strategies Inc — Fiscal Year Ended June 30, 2026 Earnings Summary

Financial Performance

• Reported total assets of $2,060.0 million as of June 30, 2026, including $149.9 million in cash and cash-like instruments and $1,904.1 million in HYPE tokens.
• Reported stockholders' equity of $1,872.9 million with zero debt.
• Generated $305.5 million in net income for the twelve months ended June 30, 2026.
• Net income components included $709.9 million in net unrealized gains on HYPE tokens, offset by a one-time loss of $169.2 million on HYPE tokens contributed during the business combination, $35.6 million in one-time IPR&D write-offs related to the legacy Sonnet business, and $183.5 million in deferred tax expense.
• Recognized $9.5 million in staking revenue and validator commissions and $2.7 million in interest income.
• Incurred $14.0 million in SG&A and R&D expenses.
• Raised $647 million in equity capital through a committed equity facility.

Guidance and Future Outlook

• Management stated the company is building against a protocol winning onchain finance segments generating real fees, including perpetuals, stablecoins, real-world assets, and outcome markets.
• The company aims to continue supporting the ecosystem as Hyperliquid becomes the infrastructure to house all of finance.
• Forward-looking statements indicate expectations regarding growth and developments with Hyperliquid, subject to risks including regulatory uncertainty and market volatility.

Business Segments and Product Lines

• Completed the exit from legacy biotech operations.
• Increased HYPE treasury holdings from an initial 12.5 million to 29.3 million tokens.
• Launched the Hyperliquid Strategies x Unit validator, which became the third largest Hyperliquid validator.
• Introduced outcome markets in May 2026, expanding to multi-outcome and macroeconomic event contracts in the same quarter.
• Entered beta for portfolio margin, enhancing capital efficiency across perpetuals, spot, and outcome markets.
• Established a non-trading revenue stream via a May 2026 arrangement with Coinbase, directing approximately 90% of cost-adjusted reserve yield on USDC held on the platform back to the protocol.
• VALR launched over 200 perpetual markets using Hyperliquid for execution and liquidity in July 2026.

Market and Competitive Landscape

• Hyperliquid's share of global perpetual futures volume reached an all-time high of approximately 9.4% as of June 30, 2026.
• Hyperliquid accounted for approximately 63% of all decentralized perpetuals open interest as of August 23, 2026, more than five times its nearest competitor.
• Real-world asset (RWA) perps scaled to exceed 50% of weekly platform volume for two consecutive weeks in July 2026, with HIP-3 open interest surpassing $4 billion in August 2026.
• The HYPE token appreciated approximately 77% during the quarter ended June 30, 2026, while the total digital asset market capitalization declined approximately 13%.
• HYPE was included among the five largest constituents of the S&P Pantera Digital Asset Index at its launch on July 21, 2026.
• Subsequent to the quarter end, Hyperliquid's total open interest reached a record of approximately $13 billion as of August 23, 2026.

Risks and Challenges

• Risks include highly volatile price fluctuations of HYPE tokens and the correlation between HSI's stock price and HYPE token price.
• Potential for significant legal, commercial, regulatory, and technical uncertainty regarding HYPE tokens.
• Regulatory risks related to the treatment of crypto assets for U.S. and foreign tax purposes.
• Competition in the industries in which the company operates.
• No assurance can be given that a United States regulatory pathway for Hyperliquid will materialize, despite remarks by the President of the United States regarding compliance efforts.

Management Commentary and Tone

• CEO David Schamis described the fiscal year as the period the company "built the platform" and noted the completion of the exit from legacy biotech operations.
• Management characterized the balance sheet as a "fortress balance sheet" with meaningful cash, no debt, and substantially all tokens staked and earning.
• Management highlighted that most value created by the protocol is returned to HYPE holders through programmatic buybacks.
• CFO Brett Beldner and CEO David Schamis are scheduled to host an audio webcast with Q&A on August 27, 2026.

Other Key Points

• $27.8 million was deployed to repurchase approximately 5.8 million PURR shares at an average cost of $4.80 per share.
• $773.4 million was deployed to accumulate approximately 16.5 million HYPE tokens at an average cost of $46.77.
• Remaining cash balance as of August 19, 2026, was $132.6 million, including $12.0 million in USDC.
• The company utilizes its website to disclose material non-public information, including Adjusted Net Asset Value, to comply with Regulation FD.
• Permissionless deployment of outcome markets went live on testnet subsequent to the quarter end.