AtlasClear Holdings, Inc. (NYSE American: ATCH) announced financial results for its fiscal second quarter ended December 31, 2025, revealing substantial growth and improved financial health. Revenue increased 84% year over year to $5.1 million, compared to $2.7 million in the prior-year quarter, reflecting accelerating operational momentum. Net income totaled $6.8 million, driven by operating growth and non-cash fair value adjustments.
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 it stood at a deficit of $(6.8) million. This shift marks a crucial turning point for the company, indicating disciplined capital management and operational progress over the past year. Liquidity strengthened significantly with cash and restricted cash totaling $46.2 million at quarter end, enhancing financial flexibility.
Wilson-Davis & Co., Inc., a subsidiary, delivered strong operating performance with growth in commissions, stock locate services, and clearing-related activity. It ended the quarter with net capital of $14.7 million, exceeding regulatory requirements by $14.4 million, which underscores the platform's operational strength and stability. Total assets increased to $77.6 million from $60.9 million as of June 30, 2025.
Management emphasized the strategic importance of these results. "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. AtlasClear is now operating from a position of strength as we continue to scale initiatives already underway and further establish our role as a modern financial infrastructure provider." Craig Ridenhour, President of AtlasClear Holdings, added that efforts to strengthen operational infrastructure and improve efficiency are translating into measurable financial results, including top-line revenue growth and broader platform utilization.
Operating performance was driven 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. Expenses rose in line with revenue growth due to higher variable compensation, clearing and data processing costs, and stock-based compensation related to new executive agreements. During the quarter, the company completed a $20 million financing through a secured convertible note and equity unit offering, which management believes provides sufficient liquidity to support operations for at least the next twelve months when combined with anticipated cash flows.
Strategic progress included expanding correspondent clearing relationships, stock loan and margin-related services, and ancillary clearing offerings. Development of the AtlasClear technology platform continues, alongside progress toward the proposed acquisition of Commercial Bancorp of Wyoming, subject to regulatory approvals. The company will host an earnings conference call, with details available via webcast at https://viavid.webcasts.com/starthere.jsp?ei=1752655&tp_key=3ac483b8a5. For more information, visit www.atlasclear.com. Additional updates are available in the company's newsroom at https://tinyurl.com/atchnewsroom.
