Hyperliquid Strategies Inc — Q3 2026 Earnings Summary

Financial Performance

• Reported total assets of $3,764.3 million as of September 30, 2026, including $254.6 million in cash and cash-like instruments and $3,505.3 million in HYPE tokens (38.52 million tokens valued at $90.99 per token).
• Stockholders' equity stood at $3,403.0 million with zero debt.
• Generated $620.6 million in net income for the quarter ended September 30, 2026.
• Net income components included $803.0 million in net unrealized gains on HYPE tokens, $12.3 million in staking revenue and validator commissions, and $1.0 million in interest income.
• Operating expenses (SG&A and R&D) totaled $7.6 million.
• Recorded $15.3 million in primarily non-cash expenses related to the committed equity facility and a $172.3 million provision for income taxes.
• Raised $911 million in equity capital under the committed equity facility during the quarter.
• Deployed $802 million: $785 million to acquire 9.1 million HYPE tokens and $17 million to repurchase 2.7 million PURR shares.
• Treasury holdings increased from 29.3 million tokens at June 30, 2026, to 38.5 million tokens at September 30, 2026.

Guidance and Future Outlook

• Filed an application to become a futures commission merchant (FCM) to carry US client accounts for permissioned markets under HIP-3, subject to regulatory approval.
• Hyperliquid protocol generated approximately $834 million in value accruing to the ecosystem for the twelve months ended September 30, 2026.
• Plans to introduce HIP-3, allowing independent operators to build and launch permissioned markets on Hyperliquid's neutral infrastructure layer.
• Management stated the FCM application and capital deployment represent a bet that Hyperliquid is winning the parts of onchain finance that generate real fees, with value flowing back to HYPE holders through programmatic buybacks.

Business Segments and Product Lines

• Hyperliquid Strategies x Unit validator is now the largest non-Foundation validator on the network.
• Primary business focus remains accumulating HYPE tokens to maximize shareholder value through staking, yield optimization, and active ecosystem engagement.
• Subsidiary preparing to serve US customers within a regulated framework for perpetual futures if FCM application is approved.

Market and Competitive Landscape

• Hyperliquid is positioning itself as infrastructure to house all of finance, processing billions in daily trading volumes.
• Value generated by the Hyperliquid ecosystem directly accrues to the HYPE token through programmatic buybacks.
• HSI is currently the largest HYPE-focused digital asset treasury vehicle.
• Forward-looking statements cite risks related to increased competition in the industries in which HSI operates.

Risks and Challenges

• High volatility in the price of HYPE tokens and the risk that HSI stock price will be highly correlated to HYPE token price decreases.
• No assurance regarding the timing or outcome of the FCM application or regulatory approval for permissioned HIP-3* markets.
• Significant legal, commercial, regulatory, and technical uncertainty regarding HYPE tokens.
• Risks related to the treatment of crypto assets for U.S. and foreign tax purposes.
• Potential difficulties in managing growth, expanding operations, and implementing the business plan due to operational challenges, competition, and regulation.

Management Commentary and Tone

• CEO David Schamis stated, "Those two moves [deploying $802 million and filing for FCM status] are the same bet," emphasizing the strategy to capture economics associated with the Hyperliquid protocol and bring onchain markets onshore.
• Management highlighted the goal of providing capital-efficient and productive access to the HYPE token for U.S. and institutional investors.

Other Key Points

• As of October 28, 2026, cumulative capital deployment reached $1,583.2 million to accumulate ~25.9 million HYPE tokens at an average cost of $61.13, bringing total holdings to 38.9 million at a blended cost of $56.35 per token.
• Cumulative capital raised reached $1,578.4 million at an average issue price of $10.36 per PURR share.
• Cumulative PURR share repurchases totaled $27.9 million for ~5.8 million shares at an average cost of $4.81 per share.
• Remaining cash balance as of October 28, 2026, was $245.3 million.
• The company utilizes its website to disclose material non-public information, including Adjusted Net Asset Value, to comply with Regulation FD.
• An audio webcast with Q&A featuring CEO David Schamis and CFO Brett Beldner was scheduled for November 5, 2026, at 5:15 p.m. ET.