Sui Group Q3 2026 Earnings Results & Report

Sui Group EPS Results

• Actual EPS: $0.59
• Consensus EPS: -$0.04
• Beat/Miss: Beat by +$0.63
• One Year Ago EPS: N/A

Sui Group Revenue Results

• Actual Revenue: $311 thousand
• Expected Revenue: N/A
• Beat/Miss: N/A
• YoY Revenue Growth: N/A

Sui Group (NASDAQ:SUIG), formerly known as Mill City Ventures III, Ltd., is a digital asset treasury and investment company focused on the Sui blockchain ecosystem. The company’s strategy centers on acquiring and holding SUI, the native digital asset of the Sui network, as well as supporting opportunities connected to the broader ecosystem.

Sui is a Layer 1 blockchain designed to support decentralized applications, digital assets and other blockchain-based services. Through its treasury strategy, Sui Group seeks to provide investors with publicly traded exposure to SUI and may pursue investments or partnerships involving projects, infrastructure and businesses that use or contribute to the Sui network.

The company trades on the Nasdaq Capital Market under the symbol SUIG. Publicly available information about its operating history, geographic footprint and leadership is limited, and its activities are primarily centered on digital asset management and ecosystem-related investments rather than the sale of traditional products or services.

Sui Group Q3 2026 Earnings Call Transcript

Key Takeaways

• Sui’s ecosystem added institutional and payments initiatives during and after the quarter, including tokenized-fund and digital-securities plans, cross-border payments, and USDC integrations. Management said network activity is increasing but remains slow, and highlighted TVL, stablecoin activity, and developer numbers as key indicators to watch.
• SUI Group held approximately 109.3 million SUI as of November 2, equivalent to about 1.35 SUI per share on a fully adjusted basis. Most holdings are staked, generating an estimated 1.5% annual yield in the quarter; the company also has a 6 million SUI lending arrangement with Bluefin.
• Third-quarter net income was $47.7 million, but included $54.7 million in net gains on digital assets and receivables, including substantial unrealized gains, partly offset by $28 million in realized trading losses. Excluding those asset gains and losses, revenue and other income fell to $557,000 from $2.6 million year over year, while operating expenses rose to $5.2 million from $3.9 million.
• Management emphasized preserving cash and limiting risk, saying it has cut costs, put expansion plans on hold, and does not currently expect to use cash for share buybacks. Cash and equivalents were $0.7 million at quarter-end, or $10.7 million including stablecoins.
• The legacy traditional lending portfolio was valued at zero at September 30 after a markdown of a non-performing loan. The company received about $900,000 in repayments and redemptions from legacy investments during the first nine months of 2026.

Presentation

[Operator]

Good afternoon, everyone, and thank you for participating in today's conference call to discuss SUI Group's financial and operating results for the third quarter ended September 30th, 2026. Joining us today are SUI Group's chairman of the board, Marius Barnett, chief executive officer, Douglas Polinsky, chief financial officer, Joseph Geraci, and the company's investor relations advisor, Mr. Aaron D'Souza, with Elevate IR. By now, everyone should have access to the company's third quarter 2026 earnings press release, which was issued this afternoon at approximately 4:05 P.M. Eastern Time. The release is available in the investor relations section of the company's website at www.suig.io. This call will also be available for webcast replay on the company's website. Following management's remarks, we will open the call for your questions. I'd now like to turn the call over to Mr. D'Souza for introductory comments.

[Aaron D'Souza, Investor Relations Advisor at Elevate IR]

Thank you, operator. Please be advised this conference call will contain statements that are considered forward-looking statements under the Private Securities Litigation Reform Act of 1995. These forward-looking statements can often be identified by the use of words such as believe, expect, intend, continue, will, may, should, estimate, potential, evaluate, pursuing, plan to, design to, position, capable, can play, aim, or similar expressions. These forward-looking statements are subject to certain known and unknown risks and uncertainties, as well as assumptions that could cause actual results to differ materially from those reflected in these forward-looking statements. These forward-looking statements are also subject to other risks and uncertainties that are described from time to time in the company's filings with the SEC, such as the inherent volatility and risks associated with investing in SUI.

[Aaron D'Souza, Investor Relations Advisor at Elevate IR]

Do not place undue reliance on any forward-looking statements, which are being made only as of the date of this call. Except as required by law, the company undertakes no obligation to publicly update or revise any forward-looking statements. For important risks and assumptions associated with such forward-looking statements, please refer to the company's SEC filings. During this call, we will also reference certain Non-GAAP financial measures. Reconciliations of these measures to the most directly comparable GAAP financial measures are also included in the back of today's earnings press release and are also available on the investor relations section of our website at www.suig.io. I will now turn the call over to the company's chairman of the board, Marius Barnett.

[Marius Barnett, Chairman of the Board at SUI Group]

Thank you, Aaron, and good afternoon, everyone. The third quarter was another important period of development for the SUI blockchain as the ecosystem continued to expand its institutional presence, advance its underlying infrastructure, and attract new applications across decentralized finance, payments, and tokenized real-world assets. We believe these developments will support SUI's position as one of the leading layer-one blockchains designed to support the next generation of global financial infrastructure. Across the digital asset industry, we are seeing a broader shift towards real-world adoption as financial institutions increasingly explore how blockchain technology can improve the efficiency, accessibility, and functionality of traditional financial products. This evolution is creating significant opportunities for high-performance blockchain networks capable of supporting institutional-scale activity, and we believe SUI is particularly well-positioned to benefit from these trends due to its speed, scalability, and innovative technical architecture.

[Marius Barnett, Chairman of the Board at SUI Group]

During the quarter, we saw several meaningful developments that demonstrate the growing maturity of the Sui ecosystem. In particular, Securitize introduced a tokenized high-income investment fund with Neuberger serving as sub-advisor, while tZERO announced plans to integrate its regulated digital securities infrastructure with Sui. These initiatives represent important steps towards bringing traditional financial products on-chain and expanding the infrastructure available to institutional investors. We also saw progress across stablecoin adoption and payment infrastructure. In September, Daya integrated Sui into its cross-border payment platform, expanding the network's utility for businesses seeking more efficient international transactions. Subsequent to quarter end, Circle's Cross-Chain Transfer Protocol V2 went live on Sui, enabling native USDC transfers across supported blockchain networks. Samsung also announced plans to integrate USDC transfers into Samsung Wallet, with Sui among its blockchain partners.

[Marius Barnett, Chairman of the Board at SUI Group]

Collectively, these developments underscore the growing role that Sui can play in facilitating digital payments, improving liquidity, and connecting traditional financial services with decentralized infrastructure. Another notable development was the continued advancement of Hashi, Sui's Bitcoin finance infrastructure, which is designed to expand Bitcoin's utility within decentralized finance. Following its public Testnet launch in July, Sui outlined plans for a phased Mainnet rollout, supported by a coalition that includes Anchorage Digital. We believe initiatives like Hashi have the potential to bring additional liquidity and financial activity to the network by enabling Bitcoin holders to participate in on-chain financial applications. Beyond these ecosystem developments, Sui continued to advance its underlying technology and security infrastructure. In August, Sui outlined its approach to quantum-resistant cryptography, including plans to introduce new signature methods designed to protect accounts and digital assets against emerging security threats.

[Marius Barnett, Chairman of the Board at SUI Group]

In October, support for the ML-DSA-65 signature standard was introduced on Devnet, enabling developers to begin testing these capabilities ahead of a broader deployment. We believe this forward-looking approach to security is important as blockchain technology becomes more deeply integrated into institutional financial infrastructure. Taken together, these developments demonstrate the breadth of innovation taking place across Sui. The network is evolving beyond a platform for digital asset transactions into a broader financial ecosystem supporting payments, tokenization, lending, and other institutional use cases. While we are still in the early stages of adoption, we believe the continued expansion of these capabilities will create a compelling foundation for long-term growth and reinforces our conviction in Sui's potential to become an important component of the global digital economy.

[Marius Barnett, Chairman of the Board at SUI Group]

Turning to SUI Group, our strategy continues to be centered on maximizing the value of SUI Group through scalable, transparent, and long-term value creation, enhanced balance sheet productivity by lending to its ecosystem and strategic partners on a risk-adjusted basis, and allocating capital to high-conviction growth themes across the digital asset, financial technology, and artificial intelligence sector. As of November 2nd, 2026, we held approximately 109.3 million SUI tokens, including our digital asset loans and receivables. On a fully adjusted basis, this represents approximately 1.35 SUI per share of common stock. A significant majority of our holdings are staked, generating an estimated annual yield of approximately 1.5% during the quarter and approximately 4,000 SUI per day. Staking enables us to earn SUI-denominated returns while maintaining exposure to the network's growth over time.

[Marius Barnett, Chairman of the Board at SUI Group]

Beyond staking, we are continuing to evaluate opportunities to deploy our treasury assets through institutional lending agreements that offer attractive risk-adjusted returns. Our existing relationship with Bluefin, a leading decentralized trading and lending platform built on Sui, is an example of this strategy in action. Through our agreement, we have lent 6 million SUI tokens to Bluefin and are entitled to participate in revenues generated by certain activities on its platforms. We view this arrangement as an opportunity to enhance the economic productivity of our treasury while supporting the development of financial infrastructure within the Sui ecosystem. We are also actively supporting initiatives designed to expand liquidity and utility across the Sui network. as of September 30, we held approximately $10 million of suiUSDe, reflecting our commitment to supporting the development of Sui native stablecoin infrastructure.

[Marius Barnett, Chairman of the Board at SUI Group]

We believe stablecoins will play an increasingly important role in the growth of decentralized finance, and initiatives that expand liquidity and accessibility can help support broader adoption across the ecosystem. Our official relationship with the SUI Foundation continues to be an important differentiator in executing this strategy. In July, we extended our trademark license agreement for an additional year, further reinforcing our relationship with the foundation. We also continue to engage directly with the developer and broader digital asset communities, including through our participation as a platinum sponsor at Sui Basecamp in Singapore during October, where we hosted the SUIG Arena trading competition. Our actions reflect our broader commitment to being an active participant in the Sui ecosystem. By leveraging our scale, strategic relationships, and access to institutional opportunities, we believe we are well-positioned to identify additional avenues for value creation as the network continues to mature.

[Marius Barnett, Chairman of the Board at SUI Group]

Importantly, our strategy also extends beyond our core SUI treasury operations. We are pursuing a broader set of high-conviction growth opportunities across digital assets, financial technology, and artificial intelligence, where we believe our capital, industry relationships, and investment expertise can generate attractive risk-adjusted returns. We believe the convergence of blockchain technology, financial services, and artificial intelligence represents a compelling investment opportunity. As these technologies continue to evolve, we expect to see new business models emerge that change how financial products operate, how capital is allocated, and how businesses leverage technology to improve productivity and efficiency. Our strategic investments in Nof1 and Recursive Superintelligence reflect this investment philosophy and our commitment to identifying differentiated opportunities in emerging financial technology. Nof1 is focused on developing advanced financial intelligence models specifically designed for financial markets.

[Marius Barnett, Chairman of the Board at SUI Group]

We believe AI has the potential to meaningfully enhance financial research, market analysis, and investment decision-making, creating opportunities for greater efficiency and more sophisticated approaches to capital allocation. Our investment provides exposure to a company operating at the intersection of artificial intelligence and financial technology, two areas we believe will become increasingly interconnected over time. Similarly, our investments in Recursive Superintelligence provides exposure to the rapidly advancing field of AI research and development. Recursive is focused on developing systems capable of accelerating AI innovation, and subsequent to quarter end, Recursive introduced Flint, its first coding model developed with support from its automated AI research system. We view this as an encouraging early milestone and believe Recursive approach has the potential to support meaningful advancements in AI capabilities and applications.

[Marius Barnett, Chairman of the Board at SUI Group]

While these investments are distinct from our core SUI treasury strategy, they are consistent with our broader objective of allocating capital to high conviction opportunities with attractive long-term growth potential. We intend to be selective and disciplined in evaluating additional investments, prioritizing opportunities where we believe we can achieve compelling risk-adjusted returns while maintaining the financial flexibility necessary to support our core treasury operations. Ultimately, our objective is to build a differentiated platform capable of creating shareholder value through multiple avenues. Our SUI treasury provides a substantial foundation of digital asset exposure. Our staking and lending activities are designed to enhance balance sheet productivity, and our strategic investments provide opportunities to participate in emerging technologies and business models that we believe have significant long-term potential.

[Marius Barnett, Chairman of the Board at SUI Group]

Looking ahead, we remain focused on increasing SUI per share over time, maximizing the productivity of our treasury, and pursuing disciplined capital allocation opportunities that can enhance the intrinsic value of our business. We believe our combination of scale, strategic relationships, and a long-term investments approach positions SUI Group to capitalize on the continued evolution of the digital asset ecosystem and to deliver sustainable value for our shareholders. With that, I'll turn the call over to Doug Polinsky, our Chief Executive Officer, to provide an update on our specialty finance operations.

[Douglas Polinsky, CEO at SUI Group]

Thank you, Marius, and thank you, everyone, for joining today's call. Our legacy specialty finance business continues to operate alongside our SUI treasury strategy, with a focus on managing our existing loans and investments. During the first nine months of 2026, we received approximately $900,000 in repayments and redemptions from legacy investments. As of September 30th, 2026, our remaining traditional lending portfolio, measured at fair value after impairments and credit provisions, is valued at zero due to a markdown of a non-performing loan. While we continue to manage our legacy specialty finance investments, our primary focus is in our SUI treasury strategy and identifying opportunities that can generate lasting value for our shareholders. With that, I'd like to turn the call over to our Chief Financial Officer, Joseph Geraci, to take you through our financial results. Joe?

[Joseph Geraci, CFO at SUI Group]

Thank you, Doug. A quick reminder as we review our third quarter financial results, all comparisons and variance commentary refer to the prior year quarter unless otherwise specified. Due to our strategic shift on July 31st, 2025, from our specialty finance business toward blockchain native treasury management, our historical financial condition and results of operations for the period presented may not be comparable. Total revenue and other income, excluding net realized and unrealized losses on investments for the third quarter of 2026, was $557,000 compared to $2.6 million in the same period last year. The decrease was primarily driven by, excuse me, lower investment and interest income from a reduction in the size of our legacy loan portfolio, as well as lower SUI staking revenue due to the decline in the market price of SUI when rewards were earned.

[Joseph Geraci, CFO at SUI Group]

Our third quarter 2026 results include approximately $54.7 million in net gains on digital assets and receivables, consisting of $82.7, including $3 million amortization of deferred income, million in net unrealized gains, partially offset by $28 million in realized losses associated with digital asset trading activities. The unrealized gains primarily reflect changes in the fair value of our digital assets and receivables, including the amortization of deferred income related to our SUI purchases. The realized losses were primarily attributable to high-frequency trading activities and are almost entirely non-cash losses. These results reflect US GAAP accounting for our digital asset holdings, including changes in fair value and losses recognized on trading activity. The reported amounts do not necessarily correspond to cash inflows or outflows of the same magnitude.

[Joseph Geraci, CFO at SUI Group]

Excluding the aforementioned gains and losses on digital assets and receivables, operating expenses for the third quarter of 2026 were approximately $5.2 million compared to $3.9 million in the prior year period. Net income for the third quarter of 2026 increased significantly to $47.7 million, or $0.59 per diluted share, compared to a net loss of $44.3 million, or a loss of $0.72 per diluted share in quarter three 2025. As of September 30th, 2026, cash and cash equivalents were approximately $0.7 million compared to $21.9 million as of December 31st, 2025. Cash and cash equivalents, including stablecoins, were approximately $10.7 million as of September 30, 2026. This concludes our prepared remarks. We will now open it up for questions from those participating in the call. Operator, back to you.

[Operator]

Thank you. To ask a question, please press star one on your telephone keypad. A confirmation tone will indicate that your line is in the question queue. You may press star two if you would like to remove your question from the queue. For participants using speaker equipment, it may be necessary to pick up your handset before pressing the star keys. One moment, please, while we poll for questions. Your first question comes from Brian Kinstlinger with Alliance Global Partners. Please state your question.

[Kevin Pimental, Analyst at Alliance Global Partners]

Hi, this is Kevin on for Brian. Thank you for taking our questions. In terms of maximizing yield on the SUI treasury today, are you exploring any additional opportunities to generate returns beyond staking, particularly through lending or other ecosystem opportunities, whether that is similar to the Bluefin agreement or otherwise?

[Marius Barnett, Chairman of the Board at SUI Group]

Hey, no worries. Thanks for the question. That's been a consistent strategy of ours to look at lending. I think we have to look at lending on a risk-based approach because lending in today's world is, especially in DeFi, has its particular risks, as we discussed earlier in the year. Even the Bluefin lend is an off-risk lend. It's not through smart contracts or any of the DeFi protocols. We always said that we look at the DeFi protocols when we get comfortable with the security risks in the world at the moment. We continue to expand our relationships in the corporate part of the market and looking at institutional lending to the likes of market makers or lenders where we can look at different types of guarantees or on a risk-based approach and look at the return profile.

[Marius Barnett, Chairman of the Board at SUI Group]

We continue to expand that and looking at that more aggressively as time goes along.

[Kevin Pimental, Analyst at Alliance Global Partners]

Great. Thank you. Has the combination of the current NAV discount and the increasingly uncertain path for clarity of the passage of the CLARITY Act changed your strategy or capital allocation priorities? If so, how are you thinking about the strategy differently today versus maybe earlier in the year?

[Marius Barnett, Chairman of the Board at SUI Group]

Yeah, I think, CLARITY, obviously, there's been a lot of changes. I think we still could see longer term some different types of regulation coming through. From a strategy perspective, I think, just from a general market movement perspective over the last six to nine months, our focus has been cutting costs, and I think we've done a great job in terms of getting the overhead cost of running the business down so that we've got enough cash to continue to run the business and not be under pressure to sell shares or to look at different types of raises. I think from a strategy perspective, we've been focused on a disciplined approach to making sure that we don't have any material cash requirements coming up and that we can wait for the markets to recover.

[Marius Barnett, Chairman of the Board at SUI Group]

We certainly have had to hold off on the expansion programs because we wanted to cut costs and ensure that we look at the best interests of all shareholders here.

[Kevin Pimental, Analyst at Alliance Global Partners]

Got it. Thanks. Just two more. What is management's strategy to create value for shareholders beyond the appreciation of SUI itself? What initiatives can drive NAV or SUI per share growth even if SUI prices remain relatively flat?

[Marius Barnett, Chairman of the Board at SUI Group]

Yeah, I think right now, our priority is making sure that, as I said, that we have a disciplined approach and that we're not doing anything wild or that we're not taking undue risk in the market at the moment. We're looking forward to what the long term looks like for crypto. I think from a capital allocation perspective, the key has been to cutting costs and not actually spending capital to increase NAV per share as we want to remain disciplined in our capital allocation approach. I think longer term, we can look at using SUI as collateral and seeing how we lend that out and grow. I think that for the next six to nine months, we need to stay very disciplined and see where markets are at that point in time.

[Kevin Pimental, Analyst at Alliance Global Partners]

Great. Thank you. Just for a last one. With recent SUI ecosystem developments, including the Samsung Wallet USDC integration and the Hashi Testnet launch, what are you seeing in terms of actual network activity in SUI demand, and which on-chain metrics are you watching most closely to determine whether these developments actually translate into sustainable value for SUI and the company?

[Marius Barnett, Chairman of the Board at SUI Group]

Yeah, I think there's been quite a few material announcements in the last few weeks. I think we've been very vocal about our long-term view on agentic finance and commerce in these sectors. I think to that extent, SUI made some material announcements in terms of a JV with Google Cloud, another JV with Alibaba, and then incorporation of USDC on Sui into Samsung Wallet. I think there's also launch last month of Hashi, which is Mysten Labs' product where you can keep your Bitcoin in your custodial wallet, and it doesn't get rehypothecated, and you can use it in different ecosystems. We're definitely seeing increased network activity, although it has been slow generally, but we expected it to be slow when the markets have been so volatile, especially in a downward trending market. I think long term there's some unique things that are coming online.

[Marius Barnett, Chairman of the Board at SUI Group]

I think from a KPI perspective of where we're looking at these types of things is, one is, SUI fees are really low because the cost of using SUI is so low. We don't look at necessarily the fees on the chain because the point being of SUI is that it is so cheap to use. I think we look at TVL, how much TVL is on chain. I think we look at the volume of stablecoin transactions. We look at the number of stablecoins on chain. We look at the number of developers on the chain. Those are the key metrics that we'll be watching.

[Kevin Pimental, Analyst at Alliance Global Partners]

Got it. Makes sense. Thanks for taking all our questions.

[Marius Barnett, Chairman of the Board at SUI Group]

Thank you.

[Operator]

Thank you. Your next question comes from Nathan Frankovitz with Cantor Fitzgerald. Please state your question.

[Nathan Frankovitz, Analyst at Cantor Fitzgerald]

Hey, good evening, guys. Thanks for taking my question. I wanted to know, with the stock at 0.72x mNAV as of the press release, and SUI per share flat over the quarter, how are you thinking about the possibility of share buybacks against some of the AI and fintech investments highlighted in the press release?

[Marius Barnett, Chairman of the Board at SUI Group]

Yeah. As I said, we're taking a disciplined approach to keep cash on our balance sheet. I don't foresee us using the existing cash on the balance sheet to do buybacks at this point in time. As I said, we want to keep our cash requirements and make sure that we've got significant runway, that there's not the possibility of needing to sell treasury or do anything material from that perspective. I think in time, what we can look at when the market's right and when the risk profile is right, is looking at different types of financial instruments, such as convertibles or prefs or those types of instruments where we could potentially look at doing buybacks. But we take a very disciplined approach, and we don't want to take risk or put too much pressure on the balance sheet at the moment.

[Nathan Frankovitz, Analyst at Cantor Fitzgerald]

Understood. Thank you. Just one quick follow-up. Last quarter, you said you had hoped to offer more clarity on the enhanced management structure this quarter. Where does that stand, and is there a Chief Investment Officer search still on the way?

[Marius Barnett, Chairman of the Board at SUI Group]

Yeah. We have been working through that, and as soon as we have got more light on it, we will make the necessary announcements.

[Nathan Frankovitz, Analyst at Cantor Fitzgerald]

Great. Thank you.

[Operator]

Thank you. Ladies and gentlemen, there are no further questions at this time. With that, we will conclude today's call.

Participants

Analysts

• Aaron D'Souza, Investor Relations Advisor at Elevate IR
• Marius Barnett, Chairman of the Board at SUI Group
• Douglas Polinsky, CEO at SUI Group
• Joseph Geraci, CFO at SUI Group
• Kevin Pimental, Analyst at Alliance Global Partners
• Nathan Frankovitz, Analyst at Cantor Fitzgerald