Financial highlights for the fourth quarter and year ended May 31, 2026:

  • Consulting and advisory fees of $1.7 million for the fourth quarter of 2026, an increase of 76.3% from the same period in 2025

  • Consulting and advisory fees of $4.3 million for the year ended May 31, 2026, a decrease of 10.7% from the same period in 2025

  • Other expense, net of $171.6 million for the fourth quarter of 2026, an increase of 42.1% from 2025

  • Other income, net of $23.5 million for the year ended May 31, 2026, a decrease of 91.3% from the same period in 2025

WHITE PLAINS, NY / ACCESS Newswire / August 27, 2026 / FRMO Corp. (the “Company” or “FRMO”) (OTCID:FRMO) reported its financial results for the fourth quarter and fiscal year ended May 31, 2026.

FRMO’s total book value as of May 31, 2026 was $647.2 million. Excluding the non-controlling interests, equity attributable to shareholders was $331.0 million ($7.52 per share). This compares with total book value at the prior fiscal year end on May 31, 2025 of $626.1 million. Excluding the non-controlling interests, equity attributable to shareholders was $327.9 million ($7.45 per share) at May 31, 2025.

The Company’s consulting and advisory fees increased during the three months ended May 31, 2026 compared to the same period in the prior year due to fees earned from its royalty participation with Horizon Kinetics Holding Corporation. HKHC recognized significant incentive fees during the Company’s quarter ended May 31, 2026.

Current assets, comprised primarily of cash and cash equivalents, amounted to $47.7 million as of May 31, 2026, and $46.3 million as of May 31, 2025. Total liabilities were $100.1 million as of May 31, 2026, and $99.8 million as of May 31, 2025, comprised primarily of deferred taxes and securities sold, not yet purchased.

FRMO’s net loss attributable to the Company for the quarter ended May 31, 2026 was $45.6 million ($1.04 per diluted share), compared to a net loss of $26.6 million ($0.60 per diluted share) a year earlier. The equity security investment that primarily accounts for the net loss is identified as Investment A in Note 4 of the Consolidated Financial Statements under Investment Concentration.

For the year ended May 31, 2026, FRMO’s net income attributable to the Company was $2.9 million ($0.07 per diluted share), compared to net income of $100.5 million ($2.28 per diluted share) a year earlier.

Net loss attributable to the Company excluding the effect of unrealized gain or loss from equity securities and digital assets net of taxes for the three months ended May 31, 2026 was $11.4 million ($0.26 per diluted share) compared to net income of $2.5 million ($0.06 per diluted share) for the three months ended May 31, 2025. The annual figures for the years ended May 31, 2026 and 2025, as of the same end dates, are a net loss of $7.0 million ($0.16 per diluted share) in 2026 compared to net income of $54.3 million ($1.23 per diluted share) in 2025.

Net income or loss attributable to the Company excluding the effect of unrealized gain or loss from equity securities and digital assets net of taxes is a measure not based on GAAP and is defined and reconciled to the most directly comparable GAAP measures in “Information Regarding Non-GAAP Measures” at the end of this release.

Valuation of securities and digital assets are subject to change after May 31, 2026. The market value of several securities and digital assets might have changed substantially since that date. We look forward to finding new ways to expand our digital assets mining operations.

The consolidated financial statements include the accounts of FRMO Corporation and its controlled subsidiaries (collectively referred to as the “Company”). As of May 31, 2026 and 2025, respectively, the Company held a 21.78% and 21.82% equity interest in Horizon Kinetics Hard Assets LLC (“HKHA”), a company formed by Horizon Kinetics Holding Corporation (“HKHC”) or (“Horizon”) and certain officers, principal stockholders and directors of the Company. The Company owns 4.42% of HKHC and earns substantially all of its advisory fees from HKHC (see Note 4 – Investments). Due to the common control and ownership between HKHA and the Company’s principal stockholders and directors, HKHA has been consolidated within the Company’s financial statements. The noncontrolling interest of 78.22% and 78.18% in HKHA has been eliminated from results of operations for the periods ended May 31, 2026 and 2025, respectively. Total stockholders’ equity includes, as a separate item, the amount attributable to the noncontrolling interests.

Further details are available in the Company’s Consolidated Financial Statements for the years ended May 31, 2026 and 2025. These statements have been filed on the OTC Markets Group Disclosure and News Services, which may be accessed at www.otcmarkets.com/stock/FRMO/filings. These documents are also available on the FRMO website at www.frmocorp.com.

Annual Meeting

Co-CEOs Peter Doyle and Steven Bregman, and David Arndt, CFO, will host the 2026 Annual Meeting of Shareholders (the “Annual Meeting”) on Thursday, September 10, 2026 at 2:30 pm Eastern Time, to be held at:

Vinson & Elkins, L.L.P.
1114 Avenue of the Americas, 32nd Floor
New York, NY 10036
https://www.virtualshareholdermeeting.com/FRMO2026

To access the virtual Annual Meeting, please have your proxy card at hand and enter your unique 16-digit control number. Only shareholders with valid control numbers will be able to vote and ask questions via the electronic portal. Guests may register for the webcast by entering their first and last names and a valid email address. Shareholders and guests may submit questions in advance to info@frmocorp.com by 11:59 P.M. Eastern Time on Sunday, September 6, 2026.

Admission to the FRMO in person Annual Meeting is limited to stockholders who owned Common stock as of the close of business on July 14, 2026, the record date, or their duly appointed proxies, and one guest. Proof of ownership of FRMO stock and valid government-issued photo identification must be presented in order to be admitted to the physical Annual Meeting. Guests must also present valid government-issued photo identification. If your shares are held in the name of a bank, broker, or other holder of record, you must bring a brokerage statement or other proof of ownership (or the equivalent proof of ownership as of the close of business on the record date of the stockholder who granted you the Proxy). If your shares are held in certificate form, ownership will be verified by consulting the list of Registered Shareholders as of the record date. Registration will begin at 1:30 PM.

FRMO CORPORATION AND SUBSIDIARIES
Consolidated Balance Sheets
(in thousands)

May 31,
2026

May 31,
2025
Assets
Current assets:
Cash and cash equivalents

$

46,967

$

43,864
Accounts receivable (due from related parties)

599

1,042
Prepaid income taxes

–

1,223
Other current assets

143

176
Total current assets

47,709

46,305
Digital mining assets, net of accumulated depreciation of $85 and $618 at May 31, 2026 and May 31, 2025, respectively

13

1,013
Equity securities, at fair value

433,928

408,553
Digital assets, at fair value

11,976

16,949
Investments in limited partnerships and other equity investments at fair value

204,350

201,529
Investments in securities exchanges

15,679

7,947
Other investments

1,297

469
Investment in Horizon Kinetics Holding Corporation

22,162

32,955
Horizon Kinetics Holding Corporation royalty participation

10,200

10,200
Total assets

$

747,314

$

725,920
Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable and accrued expenses

$

397

$

242
Income taxes payable

822

–
Current portion of mortgage note payable

–

26
Securities sold, not yet purchased

705

1,307
Total current liabilities

1,924

1,575
Deferred tax liability

98,179

97,619
Mortgage note payable, net of current portion

–

622
Total liabilities

100,103

99,816
Commitments and contingencies
Stockholders’ equity
Redeemable preferred stock – $0.001 par value; authorized 2,000 shares; no shares outstanding

–

–
Common stock – $0.001 par value, authorized 90,000 shares; issued and outstanding 44,023 shares at May 31, 2026 and 2025, respectively

44

44
Additional paid-in capital

45,492

45,350
Retained earnings

285,441

282,505
Stockholders’ equity attributable to the Company

330,977

327,899
Noncontrolling interests

316,234

298,205
Total stockholders’ equity

647,211

626,104
Total liabilities and stockholders’ equity

$

747,314

$

725,920
FRMO CORPORATION AND SUBSIDIARIES
Consolidated Statements of Operations
(in thousands, except per share data)

Year Ended May 31,

2026

2025
Revenue:
Consulting and advisory fees and other income

$

4,309

$

4,823
Total revenue

4,309

4,823
Operating expenses:
General and administrative expenses

1,409

1,352
Depreciation

46

152
Loss on sale of long-lived assets

734

–
Total operating expenses

2,189

1,504
Operating income (loss)

2,120

3,319
Other income (expense):
Dividends and interest income, net

4,590

7,807
Net realized gain (loss) from investments

988

(71

)
Equity earnings from limited partnerships, limited liability companies, and other equity investments

2,570

8,381
Unrealized gain (loss) from investments

(11,751

)

79,995
Unrealized gain (loss) from equity securities

32,140

169,065
Unrealized gain (loss) from digital assets

(5,026

)

5,878
Total other income (expense), net

23,511

271,055
Income (loss) from operations before provision for income taxes

25,631

274,374
Income tax (expense) benefit

(5,496

)

(48,189

)
Net income (loss)

20,135

226,185
Less: net (income) loss attributable to noncontrolling interests

(17,199

)

(125,731

)
Net income (loss) attributable to the Company

$

2,936

$

100,454
Net income (loss) per common share
Basic

$

0.07

$

2.28
Diluted

$

0.07

$

2.28
Weighted average shares outstanding
Basic

44,023

44,023
Diluted

44,027

44,030

About FRMO Corp.

FRMO Corp. is an intellectual capital firm that provides consulting and advisory services in the asset management sector and engages in the mining of digital assets.

FRMO had 44,022,781 shares of common stock outstanding as of May 31, 2026.

For more information, visit our website at www.frmocorp.com.

Safe Harbor Statement Under the Private Securities Litigation Reform Act of 1995 – With the exception of historical information, the matters discussed in this press release are forward-looking statements that involve a number of risks and uncertainties. Words like “believe,” “expect” and “anticipate” mean that these are our best estimates as of this writing, but that there can be no assurances that expected or anticipated results or events will actually take place, so our actual future results could differ significantly from those statements. Factors that could cause or contribute to such differences include, but are not limited to: our ability to maintain our competitive advantages, the general economics of the financial industry, our ability to finance growth, our ability to identify and close acquisitions on terms favorable to the Company, and a sustainable market.

Further information on our risk factors is contained in our quarterly and annual reports as filed on our website www.frmocorp.com and on www.otcmarkets.com/stock/FRMO/filings.

Contact

Thérèse Byars
Corporate Secretary
Email: tbyars@frmocorp.com
Telephone: 646-495-7337
www.frmocorp.com

Information Regarding Non-GAAP Measures

Net income or loss attributable to the Company excluding the effect of unrealized gain or loss from equity securities and digital assets is net income or loss attributable to the Company exclusive of unrealized gains or losses from equity securities and digital assets, net of tax. Net income or loss attributable to the Company is the GAAP measure most closely comparable to net income attributable to the Company excluding the effect of unrealized gain or loss from equity securities and digital assets.

Management uses net income or loss attributable to the Company excluding the effect of unrealized gain or loss from equity securities and digital assets, along with other measures, to gauge the Company’s performance and evaluate results, which can be skewed when including unrealized gain or loss from equity securities and digital assets, which may vary significantly between periods. Net income or loss attributable to the Company excluding the effect of unrealized gain or loss from equity securities is provided as supplemental information, and is not a substitute for net income or loss attributable to the Company and does not reflect the Company’s overall profitability.

The following table reconciles the net income or loss attributable to the Company excluding the effect of unrealized gain or loss from equity securities and digital assets to net income or loss attributable to the Company (in thousands) for the periods indicated:

Three Months Ended May 31,

Year Ended May 31,

2026

2025

2026

2025

Amount

Diluted earnings (loss) per common share

Amount

Diluted earnings (loss) per common share

Amount

Diluted earnings (loss) per common share

Amount

Diluted earnings (loss) per common share

(Unaudited)

(Unaudited)

(Unaudited)

(Unaudited)
Net Income (Loss) Attributable to the Company Excluding the Effect of Unrealized Gain (Loss) from Equity Securities and Digital Assets, and Diluted Earnings per Common Share Reconciliation:
Net income (loss) attributable to the Company

$

(45,629

)

$

(1.04

)

$

(26,553

)

$

(0.60

)

$

2,936

$

0.07

$

100,454

$

2.28
Unrealized gain (loss) from equity securities and digital assets

(138,174

)

(110,686

)

27,114

174,943
Less: Unrealized gain (loss) from equity securities and digital assets attributable to noncontrolling interests

(101,052

)

(79,667

)

16,817

121,357
Unrealized gain (loss) from equity securities and digital assets attributable to the Company

(37,122

)

(31,019

)

10,297

53,586
Tax (provision) benefit on unrealized gain (loss) from equity securities and digital assets attributable to the company

2,900

1,933

(356

)

(7,455

)
Unrealized gain (loss) from equity securities and digital assets attributable to the Company, net of taxes

(34,222

)

$

(0.78

)

(29,086

)

$

(0.66

)

9,941

$

0.23

46,131

$

1.05
Net income (loss) attributable to the Company excluding the effect of unrealized gain (loss) from equity securities and digital assets

$

(11,407

)

$

(0.26

)

$

2,533

$

0.06

$

(7,005

)

$

(0.16

)

$

54,323

$

1.23
Weighted average diluted shares outstanding

44,023

44,023

44,027

44,030

SOURCE: FRMO Corp

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FRMO Corp.