SharpLink (SBET) investor relations material

Executive summary

• Revenue surged to $11.5M in Q2 2026, up from $0.7M year-over-year, driven by active ETH treasury management and staking strategies.

• ETH holdings reached 888,938 as of August 3, 2026, with crypto assets valued at $1.4B.

• Strategic investments were made in EthLabs, Ethereum Institutional, and EthSystems to support protocol development, institutional adoption, and privacy infrastructure.

• Added to the Russell 2000 and 3000 indexes in June 2026, increasing institutional visibility and validating scale and liquidity.

• Transitioned to an ETH-centric treasury strategy in June 2025, making ETH the primary treasury asset and core operational focus.

Financial highlights

• Q2 2026 revenue was $11.5M, up 1,554% year-over-year, driven by staking and ETH yield strategies; six-month revenue was $23.6M.

• Net loss for Q2 2026 was $394.3M, primarily due to a $321M unrealized loss and $76.1M impairment charge on ETH holdings.

• SG&A expenses rose to $9.1M from $2.4M year-over-year, reflecting full operation of the ETH treasury strategy.

• Cash on hand at June 30, 2026 was $56.2M, up from $28.5M at year-end 2025.

• ETH Treasury Management contributed 97% of Q2 revenue ($11.2M); Affiliate Marketing revenue declined 45% to $367K.

Outlook and guidance

• Management anticipates continued momentum in Ethereum adoption and ecosystem growth, with ongoing capital deployment into productivity and infrastructure initiatives.

• The company aims to compound ETH per share and net ETH earned over time through disciplined capital allocation and productive treasury management.

• No explicit yield guidance is provided, but incremental ETH returns above the native staking rate are targeted via the Galaxy Sharplink Onchain Yield Fund and other strategies.

• Short- and long-term liquidity needs expected to be met through cash, staking proceeds, and equity financings.

• First investments from the $125M Onchain Yield Fund are expected in the coming weeks.