EarningsQ2 2026 Earnings Report
MX:MSTR Q2 2026 EPS Results
Actual EPS-$415.08
Consensus EPS-$37.16
Beat/MissMissed by -$377.91
One Year Ago EPS$553.43
MX:MSTR Q2 2026 Revenue Results
Actual Revenue$2.08B
Expected Revenue$2.09B
Beat/MissMissed by -$10.61M
YoY Revenue Growth+6.88%
Earnings Announcement Details
QuarterQ2 2026
Date07/30/2026
TimeAfter Close
Conference CallThursday, July 30, 2026
MX:MSTR Upcoming Earnings
Strategy's next earnings date is estimated for November 4, 2026, based on past reporting schedules.
Q2 2026 Earnings Call Audio
MX:MSTR Q2 2026 Earnings Call
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Q2 2026 Earnings Slide Deck
Q2 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call emphasized multiple record operating metrics (originations, fundings, total and net investment income), strong liquidity and reduced leverage, robust portfolio capital raises, and recurring contributions from the Adviser business. Credit metrics showed modest deterioration (small increase in lower-grade loans, one additional non-accrual) and expenses rose due to variable compensation and taxes, but these negatives are limited in magnitude relative to the positive operational momentum. Management reiterated disciplined underwriting and conservative balance sheet posture while possessing the liquidity and platform scale to capitalize on market opportunities.Company Guidance
Record Originations and Fundings
First half 2026 originations of $2.74B, up 35.6% year-over-year; record fundings of $1.35B, up 8.5% year-over-year. Q2 new commitments were over $927M and gross fundings were over $647M, funding 39 companies (9 new borrowers).
Record Investment Income and Net Investment Income
Total investment income in Q2 was a record $149.1M (+5.4% QoQ, +8.5% YoY). Core investment income was $134.4M (roughly flat QoQ, +7.8% YoY). Net investment income (NII) was a record $92.9M or $0.50 per share (+5.5% QoQ, +4.7% YoY).
Strong Coverage of Distributions
Q2 NII covered the base shareholder distribution by 125% and the full distribution (including $0.07 supplemental) by 106%. This marks the 24th consecutive quarter with a supplemental distribution.
AUM Growth and Platform Scale
Platform now manages approximately $6.1B of assets, up 14.4% year-over-year. Hercules Adviser manages nearly $2B of committed capital and the Adviser has contributed recurring cash benefits (RIA dividend $2.1M + expense reimbursement $4.9M = $7M to BDC this quarter), a 26% increase from a year ago.
Improved Liquidity and Reduced Leverage
BDC ended the quarter with $652.9M of available liquidity and the platform had >$1B available including RIA funds. GAAP leverage decreased to 103.9% from 115.4% QoQ; regulatory leverage decreased to 88.5% from 99.7% QoQ. Subsequent issuance of $325M of 6.3% institutional unsecured notes strengthened liquidity post-quarter.
NAV Appreciation and Realized Gains
NAV per share increased $0.25 to $12.15, up 2.1% QoQ. Net unrealized appreciation of $29.6M in Q2 and net realized gains of $7.7M contributed to the NAV uplift.
Portfolio Capital-Raising Momentum
29 portfolio companies raised ~$5.7B in Q2; year-to-date portfolio companies have raised $9.3B, surpassing all of 2025. Venture capital activity in H1 2026 totaled $412.7B (nearly 30% higher than 2025 full year).
High Prepayment Activity Signaling Portfolio Strength
Early loan repayments totaled $572.1M in Q2, above guidance; ~60% of those repayments were from M&A or balance-sheet cash (largely companies that raised equity and retired debt), a sign of portfolio health. Management expects Q3 prepayments to normalize to $200M–$300M.
Declining PIK and Cash Collections
PIK as a percentage of total revenue declined to ~8.3% from 9.1% in Q1. Collected approximately $12M in cash payments on accrued PIK in Q2 and an additional $12.6M post-quarter; YTD through July 27 collected $39.9M.
Stable Credit Metrics and Low Non-Accruals
Debt investments spread across 136 companies with combined fair value ~$4.4B. 98% of debt investments are floating-rate with floors; 75% of prime-based loans at contractual floor. Non-accruals increased by one to two loans representing ~$16M cost and ~$5.5M fair value (~0.3% cost, ~0.1% value); 100% of accrual loans were current on scheduled payments.
MX:MSTR Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed