AtlasClear Holdings, Inc. (NYSE American: ATCH) announced financial results for its fiscal second quarter ended December 31, 2025, demonstrating substantial growth and improved financial stability. Revenue increased 84% year over year to $5.1 million, compared to $2.7 million in the prior-year quarter, reflecting accelerating operating momentum across the company's technology-enabled financial services platform.
The company reported net income of $6.8 million, primarily driven by operating growth and non-cash fair value adjustments. More significantly, stockholders' equity turned positive to $21.7 million, representing an improvement of approximately $59.8 million compared to fiscal year-end June 30, 2024, when the company had a deficit of $(6.8) million. This dramatic turnaround underscores the effectiveness of the company's capital management and operational strategies over the past year.
Liquidity strengthened substantially with $46.2 million in cash and restricted cash at quarter end, enhancing financial flexibility. Total assets increased to $77.6 million, compared to $60.9 million as of June 30, 2025. During the quarter, the company completed a $20 million financing consisting of a $10 million secured convertible note and a $10 million equity unit offering. Management believes these proceeds, together with anticipated cash flows from operations, provide sufficient liquidity to support operations for at least the next twelve months.
Wilson-Davis & Co., Inc., the company's full-service correspondent broker-dealer subsidiary, delivered strong operating performance supported by growth in commissions, stock locate services, and clearing-related activity. The subsidiary ended the quarter with net capital of $14.7 million, exceeding regulatory requirements by $14.4 million, which underscores the platform's financial strength and compliance posture.
"This quarter represents a clear turning point for the Company," said John Schaible, Executive Chairman of AtlasClear Holdings. "We exited the year with positive stockholders' equity and substantially strengthened liquidity. Importantly, the nearly $60 million improvement in stockholders' equity since fiscal year-end 2024 reflects the disciplined capital actions and operating progress made over the past twelve months."
Revenue growth was driven primarily by increased commission activity, expanded stock locate and fully paid lending services, and Wilson-Davis serving as a selling agent in at-the-market offerings. These drivers reflect higher client activity and broader utilization of the platform's service offerings. Expenses increased in line with revenue growth, reflecting higher variable compensation, clearing and data processing costs associated with expanded services, and stock-based compensation related to new executive employment agreements.
During the quarter, AtlasClear continued to expand correspondent clearing relationships, stock loan and margin-related services, and ancillary clearing offerings. Development of the AtlasClear technology platform remains ongoing, alongside progress toward the proposed acquisition of Commercial Bancorp of Wyoming, subject to regulatory approvals. The company's strategy focuses on building a vertically integrated suite of brokerage, clearing, risk management, regulatory, and commercial banking solutions for emerging financial institutions and fintechs.
For additional information about the company's financial performance and strategic direction, investors can access the company's newsroom at https://tinyurl.com/atchnewsroom. The company will host its earnings conference call on Friday, February 13, 2026, at 8:30 AM Eastern Time, with a webcast available at https://viavid.webcasts.com/starthere.jsp?ei=1752655&tp_key=3ac483b8a5.
