Strive, Inc. — Q2 2026 Earnings Summary

Financial Performance

• Reported GAAP net loss of $257.6 million for the three months ended June 30, 2026, compared to a net loss of $8.875 million for the same period in 2025; $234.0 million (94.1%) of the 2026 loss was attributable to fair market value decreases in Bitcoin and STRC Stock holdings.
• Reported Non-GAAP adjusted net loss attributable to common stockholders of $275.0 million ($3.65 per diluted share) for the three months ended June 30, 2026, compared to $3.384 million for the same period in 2025; $234.0 million (85.1%) of the 2026 loss was due to fair value decreases in Bitcoin and STRC Stock, and $26.2 million (9.5%) was due to SATA Stock dividends.
• Total revenues were $2.941 million for the three months ended June 30, 2026, up from $1.511 million in the same period in 2025, driven by $1.388 million in new medical device revenues (vs. $0 in 2025) and $1.512 million in investment advisory fees (vs. $1.488 million in 2025).
• Total operating expenses were $24.396 million for the three months ended June 30, 2026, compared to $5.201 million in the same period in 2025, with employee compensation and benefits rising to $16.314 million from $2.005 million.
• Total investment losses were $236.794 million for the three months ended June 30, 2026, consisting of a $228.031 million unrealized loss on digital assets and a $5.962 million unrealized loss on preferred equity investments.
• For the six months ended June 30, 2026, total revenues were $5.701 million compared to $2.934 million in 2025; GAAP net loss was $523.509 million compared to $12.624 million in 2025.
• Cash and cash equivalents totaled $145.466 million as of June 30, 2026, up from $67.499 million as of December 31, 2025.
• Total assets were $1.377 billion as of June 30, 2026, compared to $745.527 million as of December 31, 2025, with digital assets at fair value increasing to $1.165 billion from $668.486 million.
• Total liabilities were $28.581 million as of June 30, 2026, compared to $14.289 million as of December 31, 2025.
• Mezzanine equity (Variable Rate Series A Preferred Stock) increased to $702.373 million as of June 30, 2026, from $148.802 million as of December 31, 2025.
• Stockholders' equity was $646.155 million as of June 30, 2026, compared to $582.436 million as of December 31, 2025.
• Net loss attributable to common stockholders was $283.812 million for the three months ended June 30, 2026, resulting in a loss per diluted share of $3.77, compared to $8.875 million and $3.86 per share in 2025.

Guidance and Future Outlook

• No specific forward financial guidance or quantitative future outlook was provided in the press release.
• Management stated the company's balance sheet is "purpose-built to thrive through Bitcoin volatility" due to being debt-free with zero margin requirements and zero encumbered Bitcoin.
• Management expressed belief that the daily dividend innovation on SATA Stock will "fuel long-term accretive Bitcoin yield to our common equity shareholders."

Business Segments and Product Lines

• Acquired 6,236 Bitcoin during the second quarter ended June 30, 2026, and 12,237 Bitcoin during the six months ended June 30, 2026.
• Achieved a Bitcoin Yield of 23.9% for the second quarter ended June 30, 2026, and 37.7% for the six months ended June 30, 2026.
• Acquired an additional 303 Bitcoin during the period from July 1, 2026, through August 7, 2026.
• Launched an updated treasury dashboard at strive.com/treasury and website updates on August 10, 2026, to improve information regarding the SATA product and reflect risk/valuation metrics.
• Strive Asset Management, LLC, a wholly owned subsidiary, manages over $2.8 billion in assets.
• Medical device revenues of $1.388 million were recorded for the three months ended June 30, 2026, a new revenue stream not present in 2025.

Market and Competitive Landscape

• SATA became the first listed security in U.S. capital market history to pay cash dividends every single business day, starting June 16, 2026, at a current annualized rate of 13.00%.
• As of August 7, 2026, Strive has paid 44 consecutive dividends on its Variable Rate Series A Perpetual Preferred Stock.
• Strive retired all outstanding short and long-term debt as of August 7, 2026, leaving the company with no debt outstanding.
• As of August 7, 2026, the company held $154.9 million in cash and cash equivalents and $48.0 million in fair value of STRC Stock.
• Outstanding shares as of August 7, 2026, included 75,649,368 Class A common shares, 9,792,535 Class B common shares, and 7,829,502 SATA Stock shares.

Risks and Challenges

• Significant volatility in the fair market value of Bitcoin and STRC Stock holdings resulted in substantial unrealized losses, accounting for the majority of the company's net loss.
• The company faces risks related to the outcome of legal proceedings, potential adverse reactions from clients/customers, and changes in business or employee relationships.
• Risks include the possibility that anticipated benefits of the merger transaction with Semler Scientific, Inc. are not realized, including issues with implementing Bitcoin treasury strategies.
• Dilution risks exist due to potential issuances of additional Class A common stock or SATA Stock.
• The Bitcoin Yield metric does not account for liabilities, senior claims of preferred stockholders, or the fact that assets are subject to redemption rights, potentially overstating or understating the accretive nature of capital use.
• Future results may differ materially from forward-looking statements due to factors such as general economic conditions, interest rates, monetary policy, and regulatory enforcement.

Management Commentary and Tone

• Matthew Cole, Chairman & CEO, highlighted the "zero-to-one innovation" of daily dividends on SATA Stock and the company's debt-free status as key strategic advantages.
• Management tone is confident regarding the company's ability to navigate Bitcoin volatility, emphasizing a balance sheet with zero margin requirements and zero encumbered Bitcoin.
• Management views Bitcoin as the "hurdle rate for capital deployment" to maximize long-term value and compound purchasing power.

Other Key Points

• The company adopted Accounting Standards Update No. 2023-08, requiring Bitcoin to be measured at fair value with gains/losses recognized in net income.
• A bargain purchase gain of $66.704 million was recorded for the six months ended June 30, 2026.
• Transaction costs of $6.525 million were incurred for the six months ended June 30, 2026.
• Loss on extinguishment of debt was $8.431 million for the six months ended June 30, 2026.
• Dividends on preferred stock totaled $26.209 million for the three months ended June 30, 2026, and $39.663 million for the six months ended June 30, 2026.
• The company has no intention to pay dividends on Class A common stock in the future, though it makes no suggestion regarding future intentions beyond the current preferred stock dividends.