Update the 2026 guidelines and maintain the revenue outlook for 2027

Palm Beach, Florida, November 12th / PRNewswire / -- Forum Markets, Incorporated (Nasdaq ticker: FRMM) (hereinafter referred to as “Forum” or “the Company”) is an innovative enterprise focused on acquiring and operating cash-generating assets in the fields of artificial intelligence infrastructure, commercial aviation, and AI-driven consumer finance. The Company today announced its financial results for the third quarter ending September 30, 2026.

In the third quarter of 2026, the company's revenue was $2 million, compared to $4.1 million in the same period last year. All of the revenue for the third quarter came from the company's commercial aircraft engine leasing business. The net profit was $7.9 million, which corresponds to a basic earnings per share of $0.52 and a diluted earnings per share of $0.47; in the same period last year, there was a net loss of $216.7 million, or a diluted loss of $174.54 per share. After adjustments, the net profit was $12.8 million, whereas in the third quarter of 2025, there was a loss of $100,000. The company stated that the net profit for this quarter and the adjusted net profit included a non-cash gain of $13.9 million from changes in the fair value of digital assets.

Forum Markets Chairman and CEO McAndrew Rudisill stated: "Over the past three months, we have established an artificial intelligence infrastructure platform through a Forum Edge AI joint venture, and we have made it a major focus of our capital investment and growth strategy. We have laid the foundation for what we believe will grow into a considerable artificial intelligence infrastructure business."

Key Business Highlights of the Third Quarter and Recent Period

In October, Forum and Edge Node established a Forum Edge AI joint venture, planning to deploy high-performance GPU computing capabilities at existing power supply data centers and communication tower sites. The company stated that this approach is expected to go live more quickly than building new data centers and can also reduce upfront capital investment. Forum is currently in active negotiations with several potential partners regarding the capacity of their computing power.

In the third quarter of 2026, Forum invested approximately $23.7 million to acquire two additional commercial aircraft engines, expanding its asset portfolio to a total of five engines. All of these engines have long-term lease agreements with one of the two largest airlines in the United States.

Rudisill indicates that the mid-term elections significantly disrupted the already tight artificial intelligence computing power market, accelerating the rise in costs of equipment, computing power, and financing. Under these circumstances, the capacity of data centers that have been approved, powered on, and built is of even greater value, and this is precisely what Forum possesses. The market demand for our capacity is exceptionally strong, and we are actively negotiating with several potential partners who wish to secure this capacity. The issue is not whether we can sign contracts for this capacity; our focus is on ensuring that we sign agreements under terms that best align with the interests of Forum and its shareholders, and on ensuring that we build this business in a robust manner that will make it sustainable, scalable, and profitable in the long term.

Financial Performance for the Third Quarter of 2026

In the third quarter of 2026, sales, general, and administrative expenses amounted to $8.7 million, compared to $224.6 million in the third quarter of 2025. This decrease is mainly due to non-cash stock-based compensation expenses such as equity incentives, which fell from $208.2 million in the same period of the previous year to $2.7 million.

Within the nine months up to September 30, 2026, the company's revenue was 6.2 million US dollars, compared to 4.1 million US dollars in the same period last year. The net loss from continuing operations was 82.1 million US dollars, whereas last year during the same period the loss was 212 million US dollars; the net loss was 81.2 million US dollars, compared to 220.8 million US dollars last year. During the current nine-month period, the adjusted EBITDA loss was 70.6 million US dollars, while last year during the same period the loss was 2.8 million US dollars.

Balance Sheet

As of September 30, 2026, the company's total assets amounted to 166.8 million US dollars, compared to 306.3 million US dollars as of December 31, 2025. Cash, cash equivalents, and marketable securities totaled 15.4 million US dollars, an increase from 12.4 million US dollars at the end of 2025. Digital assets totaled 35.5 million US dollars, which is lower than the 61.6 million US dollars at the end of 2025; the company's strategic equity investments remained unchanged at 45.7 million US dollars. The balance of pledged receivables was 181 million US dollars as of December 31, 2025, and was fully cleared during the current period. Net property and equipment amounted to 41.8 million US dollars, mainly consisting of the company's commercial aircraft engines; receivable loans and accrued interest totaled 20.9 million US dollars, whereas these two items were not present at the end of 2025. As of September 30, 2026, total shareholders' equity was 136.4 million US dollars, which is lower than the 239.4 million US dollars at December 31, 2025.

Guide

The company currently expects its annual revenue for 2026 to be between 8 million and 9 million US dollars, which is lower than the previous guidance of 18 million to 22 million US dollars. The revised guidance reflects the company's decision to slow down the deployment pace of initial artificial intelligence computing power capacity in order to cope with the rapid increase in computing power prices, equipment costs, and financing costs, a change that has further accelerated after the mid-term elections. The company's previous guidance assumed that initial artificial intelligence computing power capacity would be deployed in the fourth quarter of 2026 and begin to generate revenue. The company no longer expects to recognize revenue from artificial intelligence computing power in 2026; instead, fourth-quarter revenue is expected to come mainly from its commercial aircraft engine asset portfolio.

The company maintains its revenue guidance for 2027 at $125 million to $175 million unchanged. The company is in discussions with several potential partners on how to establish the most suitable agreements in the current market environment. These arrangements may include raising the pricing of GPU, increasing customer prepayments, adjusting purchase terms, and modifying or terminating existing contracts; different scenarios involve varying trade-offs among revenue, EBITDA profit margins, and cash flow. The price of GPU has risen, and the market is also shifting towards a higher proportion of upfront deposits due to various reasons, including GPU equipment costs and debt capital costs. Once the capacity in Dallas and North Carolina is fully contracted and the customer deposit and financing structures are finalized, the company will update its guidance.

Stock Repurchase Plan

In the third quarter of 2026, the company repurchased approximately 330,000 common shares for about $1.9 million. Since January 1, 2026, the company has repurchased around 7.4 million shares for about $33.2 million, and all the repurchased shares have been cancelled. There is still an authorization for the company to repurchase for about $19.8 million.

Teleconference

Chairman and CEO McAndrew Rudisill and Chief Financial Officer John Saunders will hold a webcast today, at 10:30 a.m. Eastern Time on November 12, 2026, to discuss third-quarter performance and operational updates. The webcast will include discussions on the development of Forum, forward-looking statements, and other important information related to business and finance. To register and listen to the webcast, please use the link provided here. A replay of the webcast will be available in the investor section of the company's website for approximately one year.

Non-GAAP financial indicators

This press release includes a non-GAAP financial indicator, "adjusted EBITDA". The company defines it as the net profit (loss) from continuing operations after deducting income tax, interest expenses, depreciation and amortization, as well as stock-based compensation expenses, plus certain other items listed in the balance sheet. Management believes that the adjusted EBITDA can provide investors with useful supplementary information regarding the company's operating performance. The adjusted EBITDA should not be considered a substitute for the net profit (loss) under the GAAP metric or any other financial performance indicators. The reconciliation between the adjusted EBITDA and the net profit (loss) from continuing operations – that is, the most directly comparable GAAP indicator – is included in the financial statements attached to this press release.

Regarding Forum Markets, Incorporated

Forum Markets, Incorporated (Nasdaq ticker: FRMM) is an innovative company focused on acquiring and building cash flow assets with attractive risk-adjusted returns in the fields of aviation, artificial intelligence, and AI-driven consumer finance. The company relies on its proprietary project discovery channels and strategic co-investment partnerships to expand its asset portfolio and generate stable operating income. Forum combines traditional asset management principles with frontline operational execution to create a brand-new framework for holding, managing, and monetizing real-world assets. For more information, please visit forum-markets.com.

Forward-looking Statements

This press release contains “forward-looking statements” as defined by the Private Securities Litigation Reform Act of 1995, including statements regarding the company’s future performance and growth, the company’s ability to execute its plans, the assets the company will hold, the company’s current and expected revenue strategies, whether the company will be able to contract for its computing capacity as anticipated or whether it will not be able to do so at all, as well as future performance. Forward-looking statements are subject to numerous risks and uncertainties, many of which are beyond the company’s control, and actual results may differ significantly from those stated.The risks and uncertainties applicable include, but are not limited to: the proposed transaction described in this document may not be completed in a timely manner or may not be completed at all, including the risk that the parties may not sign final documents regarding the joint venture or any individual project; the risk that the company may not be able to contract out its computing power capacity; there may be delays or failures to obtain the expected site capacity, power supply, licenses, equipment delivery, or customer contracts; there may be risks that equipment financing cannot be obtained under the assumed terms or amounts, or may not be obtained at all; risks related to the company's most recent financings, including dilution of existing shareholders, and the risk that the net funds raised may not be sufficient to fund the initial projects as planned, or may be used for purposes other than those described in this document; risks related to the company's obligations to provide guarantees for project-level financings; the failure to achieve the expected returns from previously announced share repurchase plans, private placements, sale of convertible notes, and related transactions, including the company's ability to operate profitably; the company's ability to repurchase common shares, the timing of repurchases, the repurchase price, and the possibility that no repurchases may occur under the repurchase plan; ETH market price fluctuations will affect the company's accounting and financial reporting; government regulation of tokenized securities; risks related to the treatment of assets for tax purposes in the United States and abroad; changes in securities laws or regulations; changes in the business, market, financial, political, and regulatory environments; risks related to the company's OTC transactions, including the company's ability to repay such financing instruments, related contracts, and guarantee rights; risks related to the company's previously announced ATM additional issuances, including possible downward pressure on the company's stock price; risks related to the company's operations and business; the risk of intensified competition in the industry in which the company currently operates and in the future; significant legal, business, regulatory, and technical uncertainties related to digital assets in general; expectations regarding future performance, growth, and potential acquisitions; potential lawsuits the company may face; the global economic situation; geopolitical events, and regulatory changes;The ability to obtain additional financing, as well as the risks and financing terms that may be lacking in the future, including the resulting dilution; and the risks and uncertainties disclosed under the "Risk Factors" heading in the company's 10-K annual report for the fiscal year ending December 31, 2025, as well as additional risk factors and other information that the company has submitted or may submit to the U.S. Securities and Exchange Commission, including the content disclosed in item 8.01 of the 8-K filing submitted by the company to SEC. Readers are reminded not to rely too heavily on these statements. Investors should also note that, in accordance with U.S. Generally Accepted Accounting Principles (GAAP GAAP), certain crypto assets must be measured at fair value, and changes in fair value must be recognized in net profit for each reporting period. These fair value adjustments may cause significant fluctuations in the company's balance sheet and income statement over different time periods. In addition, for certain crypto assets, including ETH, if the company holds them as collateral for loans, impairment losses may need to be recognized in net profit when the market price of these assets is lower than their carrying cost on the balance sheet. Readers are advised to refer to the documents disclosed by the company on www.sec.gov to understand these and other risks and uncertainties. The forward-looking statements in this press release are only as of the date of issuance of this document, and the company has no obligation to update any forward-looking statements except as required by law. The company's business faces significant risks and uncertainties, including those mentioned above. Investors, potential investors, and others should carefully consider these risks and uncertainties.