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The call presented meaningful operational and strategic progress: a live product (GLDY) with early proof points (NAV tracking, paid dividends, attestation in progress), a strengthened balance sheet after retiring $50M convertible debt and raising ~$40.25M, and high-impact institutional partnerships (Orca, Wintermute, Equity Trust) that materially improve distribution and liquidity prospects. Offsetting these positives are a large quarter loss driven by noncash items, a steep increase in operating expenses (≈+1,090% YoY), no GAAP revenue in the quarter, modest early AUM (~$14M) and initial onboarding delays that slowed the ramp. Management articulated a clear roadmap and near-term catalysts (partnerships going live, GLDC/SLVC launches) while emphasizing runway coverage. Overall, the call balanced tangible foundational progress and credible near-term growth levers against typical early-stage commercialization risks and high initial costs.
Management guided that Streamex ended Q1 with $45.85M in cash and investments, total assets of $173.3M and shareholders’ equity of $159.3M (0 debt) after raising ~$40.25M in January, selling LBMA bullion for ~$26.4M (realized gain $2.9M) and fully retiring $50M of convertible debentures—cutting liabilities from $54.2M at YE‑2025 to $14M—with operating cash use of $10.2M, working capital of $42.6M, cash on hand of $6.9M plus marketable securities and management expects >12 months runway at current burn. They reiterated near‑term revenue will be modest (no GAAP revenue recognized in Q1) as product revenue ramps with AUM growth, noting a Q1 comprehensive loss of $48.6M (including $25.4M noncash stock‑based comp and $12.2M noncash debt‑related charges), operating expense of $35.7M (vs. $3.0M prior year) and $1.5M of D&A. Product and go‑forward guidance: GLDY had 3,096.6 ounces (~$14M AUM) and has distributed 10.48 ounces in dividends, NAV tracks gold with an independent attestation in process; key distribution and liquidity partners (Equity Trust providing access to $72B/359,000 IRAs, Wintermute enabling T+0 mint/redemptions, Orca enabling 24/7 secondary trading) are coming live, GLDC and SLVC are targeted for early–mid Q3 2026 with expanded GLDY functionality and a royalties/streams pilot slated for Q4 2026, and the minimum investment threshold has been cut from $200k to $25k.
Closed Q1 with $45.85 million in combined cash, marketable securities and GLDY-held gold; total assets $173.3 million, shareholders' equity $159.3 million, and 0 debt following full retirement of $50 million convertible debenture. Total liabilities reduced from $54.2 million to $14 million (≈74% decrease).
GLDY launched in Q1 2026, NAV tracking gold price tightly as designed; first independent attestation in process; product infrastructure (issuance, custody, compliance, on-chain settlement) live and auditable.
GLDY supported by ~3,096.6 ounces of gold (~$14 million AUM) at quarter end and distributed 10.48 ounces to holders as the first two dividends, demonstrating yield mechanics and operational delivery.
Confirmed development and integration partnerships with Orca (permissioned on-chain secondary market), Wintermute (24/7 instant liquidity and market-making) and Equity Trust (IRA custodian unlocking access to ~$72 billion and ~359,000 retirement accounts).
Completed January 2026 equity offering raising ~$40.25 million (gross) which funded debt retirement; sold LBMA Good Delivery gold for ~$26.4 million cash proceeds, realizing a $2.9 million gain.
KYC integration issues resolved; onboarding restored with dedicated sales and service team; sales team scaled (4 salespeople + head of sales joining); minimum investment on proprietary platform reduced from $200,000 to $25,000 to lower investor friction.
Sequenced launches: focus on scaling GLDY in Q2; GLDC (retail nonsecurity token backed 1:1 by GLDY) and SLVC (silver) targeted for Q3 2026; Q4 planned functionality expansion and pilot of royalties/streams; strategy designed for compounding AUM across future commodities.
Initiated analyst coverage from Needham and Siebert, supporting institutional visibility and investor outreach.
Hello, and welcome to Streamex First Quarter 2026 Business and Quarterly Update Call. Please note that this call is being recorded. [Operator Instructions] I'd now like to hand the call over to Adele Carey, Investor Relations. Please go ahead.
Thank you so much, and thank you, everyone, for joining. Welcome to Streamex Corp.'s First Quarter 2026 Earnings and Corporate Update Call. I'm joined by Morgan Lekstrom, our Executive Chairman; Henry McPhie, our Chief Executive Officer; Christine Plummer, our Chief Financial Officer; and Mitch Williams, our Chief Investment Officer. A little housekeeping item before we begin. I'd like to remind everyone that today's call will contain forward-looking statements based on our current expectations and assumptions. These statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed today. Please refer to the cautionary language on Slides 2 and 3 of today's presentation as well as the risk factors detailed in our most recent Form 10-K and Form 10-Q filed with the SEC. We will also reference certain non-GAAP financial measures during this call.
Reconciliations to the most directly comparable GAAP measures are available in our filings and in the appendix to today's investor presentation deck. With that, I'll turn the call over to Morgan Lekstrom.
Thank you, Adele, and good afternoon, everyone. On behalf of the Board and entire Streamex team, thank you for joining us today. This was the quarter Streamex went from preparation to proof. We launched our first product, paid our first di...