Press Releases August 13, 2026 04:05 PM

AVAX One Reports Second Quarter 2026 Financial and Operating Results

AVAX One reports strong Q2 2026 revenue growth driven by Avalanche staking and bitcoin mining amid significant non-cash impairments

By Derek Hwang
Share
Twitter Reddit Facebook LinkedIn
AVX

AVAX One Technology Ltd. (NASDAQ: AVX) announced its Q2 2026 financial results showing a substantial increase in total revenue to $2.8 million from $0.5 million a year earlier, primarily driven by $2.1 million in staking rewards from its Avalanche digital asset treasury and $0.7 million from bitcoin mining. Despite revenue growth, the company reported a net loss of $35.1 million, heavily impacted by $33 million in non-cash charges related to unrealized losses on digital assets and impairments. AVAX One also advanced its AI pilot project using excess bitcoin mining capacity and repurchased shares under an ongoing buyback program. The company reiterated full-year 2026 guidance, forecasting revenue between $11 million and $44 million depending on crypto prices. It maintains sufficient liquidity and plans to pursue growth opportunities through acquisitions, partnerships, and infrastructure investments.

AVAX One Reports Second Quarter 2026 Financial and Operating Results
AVX
Summarize with
ChatGPT Perplexity Claude Grok Gemini

Key Points

  • Q2 2026 revenue increased significantly (~5.6x YoY) driven by Avalanche staking rewards and bitcoin mining operations.
  • Reported substantial non-cash charges totaling $33 million from digital asset valuation losses and impairments, leading to large net loss.
  • Advanced AI and HPC initiatives with a pilot project converting bitcoin mining capacity to AI workloads – diversifying digital infrastructure offerings.
  • Repurchased shares under $40 million buyback program, demonstrating confidence in intrinsic value of the business and commitment to capital allocation discipline.

Total AVAX Tokens and Equivalents of 14,091,424 as of August 13, 2026

WEST PALM BEACH, FL, Aug. 13, 2026 (GLOBE NEWSWIRE) -- AVAX One Technology Ltd. (NASDAQ: AVX) (“AVAX One” or the “Company”), today announced its financial and operating results for the second quarter ended June 30, 2026, along with an update on its AVAX treasury strategy.

"We made solid progress in the second quarter deepening AVAX One’s role as a digital infrastructure company accelerating the transition to an onchain financial economy," said Pete Wylie, Interim Chief Executive Officer of AVAX One. "Staking is the foundation of our Avalanche treasury strategy, generating onchain yield through native staking and ecosystem participation. Our Bitcoin mining operations remained a consistent operating contributor during the quarter, and we advanced our AI and high-performance computing initiatives through an initial inference pilot at our Redwater facility."

"Across each of these three pillars, we are focused on evaluating accretive opportunities that build durable revenue and cash flow. This includes assessing potential acquisitions, partnerships, infrastructure investments, and operational initiatives that strengthen our existing platform. We also intend to stay active under our share repurchase program, buying back stock when we believe our shares trade below the intrinsic value of the business. We believe these initiatives, coupled with our prudent approach to capital allocation, will enable us to position AVAX One for its next phase of growth."

Second Quarter 2026 Financial Summary (vs. Q2 2025)

  • Total Revenue: Total revenue for the second quarter of 2026 increased significantly to $2.8 million compared to approximately $0.5 million in the second quarter of 2025. The increase was driven by AVAX One’s Avalanche digital asset treasury strategy, which generated approximately $2.1 million in staking rewards in Q2 2026, coupled with the revenue from Bitcoin mining, which generated approximately $0.7 million in revenue.
  • Total Operating Expenses: Total operating expenses in the second quarter of 2026 were $36.2 million compared to $1.8 million in the second quarter of 2025. Operating expenses in the second quarter of 2026 included $33.0 million in non-cash charges related to a $29.8 million unrealized loss on the change in market value of the Company’s digital assets, a $2.6 million impairment of liquid staking tokens and $0.6 million in share-based compensation and depreciation expense. Excluding these non-cash charges, adjusted operating expenses for the second quarter of 2026 were $3.2 million.
  • Net Loss: Net loss for the second quarter of 2026 was $35.1 million or $(4.41) per diluted share compared to a net loss of $8.1 million or $(335.88) per diluted share in the second quarter of 2025. Excluding the non-cash costs discussed above, adjusted net loss for the second quarter of 2026 was $2.2 million, or $(0.27) per diluted share.
  • Cash and Cash Equivalents: As of June 30, 2026, the Company had $11.4 million in cash and cash equivalents, coupled with restricted cash of $5.4 million and an escrow receivable balance of $4.3 million, resulting in total liquidity availability of approximately $21.2 million. This is compared to approximately $27.6 million in total liquidity on December 31, 2025. AVAX One believes its liquidity position, coupled with its ability to generate additional liquidity by leveraging or liquidating portions of its digital assets, provides the Company with sufficient liquidity to fund its current operating expenses, as well as to execute its growth strategy without the need to raise additional capital.

Operational and Treasury Highlights

  • Expanded the Company’s Avalanche digital asset treasury to 14,091,424 AVAX tokens and equivalents including approximately 800,000 deployed into Treehouse as of August 13, 2026, with approximately 95% actively staked, generating an annualized yield of approximately 5.4%.
  • Repurchased approximately 144,755 shares of common stock during the second quarter under the Company’s previously authorized $40 million share repurchase program, bringing total repurchases since November 2025 to approximately 417,537 shares.
  • Announced an initial AI inference pilot at the Company’s Redwater facility to evaluate the potential conversion of approximately 100 kilowatts of excess Bitcoin mining capacity to AI workloads.
  • Subsequent to quarter end, AVAX One completed a restructuring of its convertible debt facility, reducing outstanding principal by approximately $6.8 million and strengthening the Company's balance sheet.

Full Year 2026 Guidance

The Company is reiterating its previously issued guidance:

 ($ in Millions USD) Current Spot Price[1]  2025 Avg. Price[2]   2025 High Price[3] Revenue $11M - $12M  $24M - $25M   $43M - $44M Change vs. prior year period ~5x  ~10x   ~19x EBITDA4 $2M - $3M  $10M - $11M   $24M - $25M 

[1] Assumes Bitcoin price of ($70,000.00) and Avalanche price of ($9.00).
[2] Assumes Bitcoin price of ($101,877.40) and Avalanche price of ($22.43).
[3] Assumes Bitcoin price of ($124,720.00) and Avalanche price of ($44.10).
4 The tables at the end of this press release provide a reconciliation of non-GAAP financial measures to the Company’s expected results in accordance with GAAP. (See “Reconciliation of GAAP and non-GAAP Information” below).

Conference Call and Webcast Details

The Company will conduct a conference call today, August 13, 2026, at 5:00 p.m. Eastern time to discuss its financial and operating results for the second quarter ended June 30, 2026.

AVAX One’s management team will host the conference call, followed by a question-and-answer session.

Date: Thursday, August 13, 2026
Time: 5:00 p.m. ET
Toll-free dial-in number: (877) 425-9470
International dial-in number: (201) 389-0878
Conference ID: 13761563
Webcast: AVAX One’s Q2 2026 Earnings Conference Call

Participants can also access the Company’s earnings call using the call me option here for instant telephone access to the event, which will be active approximately 15 minutes before the scheduled start time.

If you have any difficulty registering or connecting with the conference call, please contact Elevate IR at (720) 330-2829.

The conference call will also be available for replay on the investor relations section of the Company’s website at www.avax-one.com.

About AVAX One Technology Ltd.

AVAX One Technology Ltd. (NASDAQ: AVX) is a digital infrastructure company accelerating the transition to an onchain financial economy. The Company maintains a strategic Avalanche digital asset treasury, accumulating AVAX and generating onchain yield through native staking and ecosystem participation. It also operates bitcoin mining facilities and develops modular data centers. These three pillars give public market investors unique exposure to both the onchain economy and the digital infrastructure layer. For more information, please visit www.avax-one.com.

Forward Looking Statements

This press release includes forward-looking statements within the meaning of Section 27A of the Act, and Section 21E of the Securities Exchange Act of 1934, as amended. These forward-looking statements generally can be identified by the use of words such as "anticipate," "expect," "plan," "could," "may," "will," "believe," "estimate," "forecast," "goal," "project," and other words of similar meaning. These forward-looking statements address various matters including statements relating to the anticipated benefits and timing of the completion of the proposed offering and related transactions, the intended use of proceeds from the PIPE offering, expectations regarding future capital raising activity, the assets to be held by the Company, expectations regarding adoption of the Avalanche network, the expected future market, price and liquidity of the digital assets the Company acquires, the macro and political conditions surrounding digital assets, the Company's plan for value creation and strategic advantages, market size and growth opportunities, regulatory conditions, competitive position and the interest of other entities in similar business strategies, technological and market trends, future financial condition and performance, the expected financial impacts of the proposed transactions described herein, and the timing of the closing of the PIPE offering. Each forward-looking statement contained in this press release is subject to risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statement. Applicable risks and uncertainties include, among others, the proposed transactions described herein may not be completed in a timely manner or at all; failure to realize the anticipated benefits of the transactions and the proposed AVAX strategy; changes in business, market, financial, political and regulatory conditions; risks relating to the Company's operations and business, including the highly volatile nature of the price of AVAX and other cryptocurrencies; the risk that the price of the Company's securities may be highly correlated to the price of the digital assets that it holds; risks related to increased competition in the industries and markets in which the Company does and will operate (including the applicable digital assets market); risks relating to significant legal, commercial, regulatory and technical uncertainty regarding digital assets generally; risks relating to the treatment of crypto assets for U.S. and foreign tax purposes, as well as those risks and uncertainties identified in the Company's filings with the SEC. The forward-looking statements in this press release speak only as of the date of this document, and the Company undertakes no obligation to update or revise any of these statements. The statements made in this press release are not intended to be projections of the Company's future results nor an offer of a future securities transaction by the Company. Any offering in the future will be made through compliance with all applicable regulations and the filing of appropriate documents with the SEC, as required under those regulations.

Investor Relations Contact

Sean Mansouri, CFA or Aaron D’Souza
Elevate IR
(720) 330-2829
[email protected]

Media Contact

Ethan Lyle
Prospero
[email protected]

AVAX ONE TECHNOLOGY LTD. AND SUBSIDIARIESCONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited)(in thousands, except share data)          June 30,
2026   December 31, 2025    (unaudited)     ASSETS        Current        Cash and cash equivalents $11,368  $22,135 Restricted cash  5,440   - Escrow receivable  4,345   5,430 Liquid staking tokens  4,726   - Staking rewards receivable  1,839   - Other receivables  244   17 Deposit receivable  58   58 Prepaid expenses and other current assets  4,168   5,863 Total current assets  32,188   33,503          Non-current        Property and equipment, net  5,973   4,246 Digital assets, non-current  81,609   153,670 Intangible assets, net  294   409 Intangible asset held for sale  1,550   1,550 Goodwill  1,535   1,535 Lease deposit, non-current  50   50 Total assets $123,199  $194,963          LIABILITIES AND SHAREHOLDERS’ EQUITY        Current        Accounts payable and accrued liabilities $1,683  $1,278 Debentures, net of discount  12,985   6,439 Loan payable  206   220 Other current liabilities  50   50 Total liabilities  14,924   7,987          Commitments and contingencies - See Note 15                 Shareholders’ equity        Common shares, no par value per share - unlimited shares authorized, 7,713,231 and 7,760,179 shares issued and 7,363,270 and 7,744,900 outstanding at June 30, 2026 and December 31, 2025, respectively  283,357   283,554 Treasury shares  (4,108)  (258)Additional paid-in-capital  22,206   22,968 Subscriptions receivable - digital assets  (16,606)  (24,234)Obligation to issue shares  44   44 Accumulated deficit  (175,497)  (93,977)Accumulated other comprehensive loss  (1,121)  (1,121)Total shareholders’ equity  108,275   186,976 Total liabilities and shareholders’ equity $123,199  $194,963 


AVAX ONE TECHNOLOGY LTD. AND SUBSIDIARIESCONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)(in thousands, except per share data)               Three Months Ended
June 30,  Six Months Ended
June 30,   2026  2025  2026  2025 REVENUE $2,817  $452  $5,328  $725                  OPERATING EXPENSES                Cost of revenue, excluding depreciation $792  $242  $1,990  $463 Bitcoin operating costs  122   -   164   - Selling, general and administrative  2,191   1,179   4,457   2,524 Repairs and maintenance  119   114   199   200 Share-based compensation  303   81   556   208 Depreciation and amortization  284   334   537   594 Loss on disposal of operating assets  -   -   259   - Impairment of liquid staking tokens  2,613   -   3,740   - Realized loss on digital asset transactions  20   -   5,317   - Unrealized loss on market valuation of digital assets  29,755   (116)  66,057   (80)Total operating expenses  36,199   1,834   83,276   3,909                  Operating loss  (33,382)  (1,382)  (77,948)  (3,184)                 OTHER (EXPENSE) INCOME                Accretion of interest on debentures  (1,728)  (967)  (3,546)  (1,938)Change in fair value of derivative liabilities  -   -   -   2,977 Foreign exchange loss  5   (20)  5   (77)Gain on conversion of convertible debt  -   -   -   87 Loss on debt extinguishment  (21)  (4,616)  (21)  (4,731)Other expense  (3)  68   (10)  61 Total other (expenses) income, net  (1,747)  (5,535)  (3,572)  (3,621)                 Net (loss) income from continuing operations  (35,129)  (6,917)  (81,520)  (6,805)                 Loss from operations of discontinued operations  -   (240)  -   (497)Loss from operations of discontinued operations  -   (904)  -   (904)Net loss from discontinued operations  -   (1,144)  -   (1,401)                 Net loss $(35,129) $(8,061) $(81,520) $(8,206)Other comprehensive loss                Foreign currency translation  -   -   -   37 Comprehensive loss attributable to common shareholders $(35,129) $(8,061) $(81,520) $(8,169)                 Earnings per share:                Basic and diluted net loss per common share for continuing operations $(4.41) $(288.21) $(10.14) $(309.32)Basic and diluted net loss per common share for discontinued operations $-  $(47.67) $-  $(63.68)Basic and diluted net loss per common share, total $(4.41) $(335.88) $(10.14) $(373.00)                 Weighted average number of common shares outstanding – basic and diluted*  7,957   24   8,042   22 * reflects the 1:12 reverse stock split effected on June 15, 2026 and 1:9 reverse stock split effected on July 28, 2025
 


Reconciliation of GAAP and Non-GAAP Information

($ in Millions, unaudited)

Full Year 2026 Guidance Scenarios          ($ in millions)   Current Spot Price     2025 Avg. Price     2025 High Price  Revenue $11.4  $24.2  $43.3 Total operating expenses  10.6   14.9   20.3 Operating income  0.9   9.4   23.0 Other expenses  0.8   0.8   0.8 Net income from continuing operations  0.1   8.6   22.3 EBITDA Adjustments:            Depreciation and amortization  1.3   1.3   1.3 Accretion of interest on debentures  0.8   0.8   0.8  EBITDA  2.2   10.7   24.3 

Risks

  • High volatility and significant unrealized losses in digital asset valuations pose earnings and balance sheet risks impacting financial results and stock performance.
  • Dependence on fluctuating prices of cryptocurrencies (Avalanche, Bitcoin) creates uncertainty around revenue and cash flow sustainability in the onchain economy sector.
  • Exposure to regulatory, market, and technological risks associated with digital assets, bitcoin mining, and emerging AI infrastructure could affect operations and growth prospects.

More from Press Releases

BridgeBio Pharma Announces Launch of Secondary Offering of Common Stock on Behalf of an Existing Shareholder Aug 13, 2026 Verizon readies for Tropical Storm Lala; Offers tips for Hawai’i residents and businesses Aug 13, 2026 REalloys Reports Second Quarter 2026 Results Aug 13, 2026 Cheetah Net Supply Chain Service Inc. Announces Second Quarter 2026 Results Aug 13, 2026 AirJoule Technologies Announces Second Quarter 2026 Results and Provides Business Update Aug 13, 2026