Monitor BENF for Nasdaq compliance risk given the accumulated deficit of $2.1B and negative equity of $189M. The company's cash burn rate (operating loss of $166.5M) far exceeds the $2.5M cash balance — a dilutive capital raise or restructuring appears unavoidable in the near term. The collateral management services announcement is early-stage and generates no near-term revenue.
Price Chart
Executive Summary
Beneficient (BENF) reported FQ4 2026 results with GAAP revenues of -$42.4M (heavily influenced by mark-to-market losses and items) and Class A basic EPS of -$14.02 for the full fiscal year, reflecting continued underlying business decline — core segments (Ben Liquidity, Ben Custody) saw revenue declines of 3.5% and 13.9% QoQ respectively. While the company resolved litigation and repaid debt, operating losses widened, cash reserves fell to $2.5M, and total equity deficit deepened to -$189.3M, signaling a distressed micro-cap in restructuring mode.
Key Facts
- Full-year GAAP total revenues were -$39.1M vs -$7.9M in the prior year, a 392% decline driven by investment losses
- Class A basic EPS for FY2026 was -$14.02 vs +$68.08 in FY2025 (after reverse stock split adjustment)
- Net loss attributable to common shareholders for FY2026 was -$87.4M vs +$51.2M in FY2025
- Total equity (deficit) worsened to -$189.3M from -$34.9M at March 2025
- Cash and cash equivalents dropped to $2.5M from $1.3M at March 2025 — minimal liquidity runway
- Core operating segments declining: Ben Liquidity interest income fell 21.5% YoY; Ben Custody revenues fell 40.9% YoY
- Allowance for credit losses grew to $414.4M (from $391M at Dec 2025) against gross loans of $584.0M — 71% allowance ratio
Financial Impact
Full-year net loss to common of $87.4M on a $53M market cap — 165% of market cap lost in a single year
Risk Factors
- Imminent risk of Nasdaq delisting or further reverse split given $53M market cap and negative shareholders equity
- Cash balance ($2.5M) insufficient to cover losses — likely need for dilutive equity offering
- 71% allowance for credit losses signals severe collateral impairment in the alternative asset portfolio
- Pending sentencing of former CEO and remaining GWG litigation overhang creates ongoing legal uncertainty
- Near-zero institutional ownership suggests lack of credible refinancing or recovery path
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 7 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001775734-26-000013 |
| Exhibit: ex992-shareholderletter.htm | 0001775734-26-000013 |
| Document: ben-20260629.htm | 0001775734-26-000013 |
| Document: 0001775734-26-000013-index-headers.html | 0001775734-26-000013 |
| Document: 0001775734-26-000013-index.html | 0001775734-26-000013 |
| Document: 0001775734-26-000013.txt | 0001775734-26-000013 |
| 8-K Data (Synthetic) | 0001775734-26-000013 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Sep 16, 2026 16d ago | 8-K | $0.8192 $2.90 | ▲ +254.00% | ▲ +252.18% | $1.43 (+74.56%) |
Aug 14, 2026 7w ago | 8-K | $2.40 $2.26 | ▼ −5.83% | ▼ −4.47% | $1.43 (−40.42%) |
Aug 14, 2026 7w ago | Press Release | $2.40 $2.26 | ▼ −5.83% | ▼ −4.47% | $1.43 (−40.42%) |
Jul 29, 2026 9w ago | S-1 | $3.05 $3.14 | ▼ −2.95% | ▲ +0.67% | $1.43 (+53.11%) |
Jul 13, 2026 11w ago | DEFA14A | $2.86 $3.45 | ▼ −20.63% | ▼ −21.92% | $1.43 (+50.00%) |
Jul 13, 2026 11w ago | 8-K | $2.86 $3.45 | ▼ −20.63% | ▼ −21.92% | $1.43 (+50.00%) |
Jun 29, 2026 13w ago | 8-K | $3.68 $3.63 | ▲ +1.36% | ▲ +1.96% | $1.43 (+61.14%) |
Apr 10, 2026 25w ago | Press Release | $4.08 $3.17 | ▼ −22.30% | ▼ −26.81% | $1.43 (−64.95%) |
Mar 12, 2026 29w ago | 8-K | $3.83 $3.72 | ▼ −2.87% | ▼ −1.89% | $1.43 (−62.66%) |
US Market Status
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