AgriFORCE Growing Systems Ltd.

Total revenue for Q2 2026 was $2.8 million, up from approximately $500,000 in Q2 2025. Revenue included about $2.1 million of staking rewards and about $700,000 from Bitcoin mining. Total operating expenses were $36.2 million versus $1.8 million a year ago, driven by $33 million of noncash charges, including a $29.8 million unrealized loss on digital assets and a $2.6 million impairment of Treehouse liquid staking tokens. Net loss was $35.1 million, or $4.41 per diluted share, compared with a net loss of $8.1 million, or $335.88 per diluted share, in Q2 2025. As of June 30, 2026, total liquidity was about $21.1 million, consisting of $11.4 million cash and cash equivalents, $5.4 million restricted cash, and a $4.3 million escrow receivable. The company held about 13.2 million AVAX tokens with a net value of $86.3 million, about 700,000 tAVAX tokens with a net value of about $5.3 million, and about 31 Bitcoin with a net value of about $1.8 million, for total digital assets of about $93.5 million. Since launching the treasury strategy in November 2025, staking revenue has totaled about $4.7 million at an annualized yield of approximately 5.3%. Subsequent to quarter end, the company said it restructured convertible debentures, reducing principal by about $6.8 million. No formal next-quarter or full-year financial guidance was provided on the call.

Pete Wylie framed the quarter around growing conviction in Avalanche and Avax One’s role in that ecosystem, citing institutional settlement, tokenized assets, validator participation, and consumer applications as evidence of real-world adoption. He emphasized the company’s three-pillar strategy: AVAX treasury, Bitcoin mining, and selective AI/high-performance computing, while stressing capital discipline and accretive opportunities. On the AI front, he said the Redwater inference pilot is on track but equipment has not yet been deployed, and he described Alberta as an area of interest pursued through BlueFlare.

Chris Polimeni highlighted that revenue grew materially because of the shift to the Avalanche digital asset treasury strategy, with staking rewards becoming the largest source of revenue. He detailed the $36.2 million in operating expenses, including $33 million in noncash charges, and reported adjusted operating expenses of $3.2 million and adjusted net loss of $2.2 million, or $0.27 per diluted share, excluding those items. He also pointed to $21.1 million of liquidity, $93.5 million of digital assets, and said the company believes it can fund operating expenses and growth without additional capital, helped by staking/Bitcoin-generated liquidity and a post-quarter debenture restructuring that reduced principal by about $6.8 million.

In Q&A, an analyst asked about the CEO transition, and management said it would not comment much publicly, but candidates with experience around the Avalanche treasury, Bitcoin mining, and AI infrastructure would be prioritized. The analyst also asked whether the Alberta AI data center plan and the earlier 1Q 2027 powered-land target were still firm; Wylie said the company remains focused on Alberta through its partnership with BlueFlare. On the Redwater inference pilot, management said it remains on track but equipment has not yet been deployed because of long lead times, so results are still pending.