Hyperion DeFi has reported a record $39.6 million in net income for the third quarter of 2026, up 28% from the previous quarter, even as the Nasdaq-listed company reduced its HYPE token holdings to repay outstanding debt.
Summary
- Hyperion DeFi reported record net income of $39.6 million in Q3 2026, up 28% from the previous quarter and nearly six times the amount recorded a year earlier.
- The company sold approximately $13 million worth of HYPE tokens to repay its legacy debt, reducing its treasury holdings to 1.85 million tokens.
- Despite the token sales, Hyperions HYPE treasury value climbed to $167.9 million, while its reported net asset value reached $182.4 million.
- Adjusted gross profit rose 143% to $2.8 million as ecosystem rewards, staking income, and DeFi monetization contributed to stronger operating results.
- Hyperion maintained its 2026 adjusted gross profit forecast of $7 million to $8 million after achieving positive core operating earnings for the first time.
According to its November 12 earnings report, the company recorded its third consecutive quarter of record net income, compared with $31 million in Q2 and $6.6 million during the same period last year.
Hyperions adjusted gross profit rose 143% quarter over quarter to $2.8 million, beating its earlier guidance of $2 million to $2.5 million. Core operating earnings turned positive for the first time since the company adopted its DeFi strategy in June 2025, reaching $555,177 against a $1.2 million loss in Q2.
“We are pleased to report a third consecutive quarter of record Net Income,” CEO Hyunsu Jung said, adding that the company had achieved its first quarter of breakeven or better core operating profit and cash flows ahead of schedule.
Hyperion DeFis HYPE treasury reaches $167.9 million
Hyperion ended September with approximately 1.85 million HYPE tokens, down from 2.04 million at the end of June, after selling roughly $13 million worth of tokens during the quarter.
Despite the reduction, the reported value of its HYPE treasury climbed 27% to $167.9 million from $132.6 million as the tokens quarter-end price rose from $65 to $90.80.
The companys aggregate acquisition cost for its remaining tokens stood at approximately $74 million, equivalent to $40 per HYPE. Its reported net asset value reached $182.4 million, compared with $134.2 million in Q2.
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Treasury gains contributed $48.1 million during the quarter, while adjusted EBITDA came in at $48.7 million, down from $53.7 million in the preceding quarter.
Hyperion used proceeds from its token sales to repay approximately $8.6 million in outstanding principal and interest owed to Avenue Capital, eliminating its remaining legacy debt.
The company finished September with $14.5 million in cash, cash equivalents, and stablecoins, compared with $11.8 million three months earlier.
It has since begun executing a $20 million share repurchase program announced on September 8, purchasing 240,124 shares during September at approximately a 30% discount to its reported net assets.
DeFi operations generate record quarterly revenue
Beyond its treasury holdings, Hyperion reported stronger earnings across its decentralized finance operations, particularly from ecosystem rewards, staking, and partnerships.
Ecosystem rewards generated $1.25 million, compared with $90,000 in Q2. The amount included $505,000 attributed to 10 million DoubleZero tokens and $750,000 in equity owed by Skew Technologies.
The company previously committed 500,000 HYPE tokens to its partnership with Skew, which provides Hyperion with equity and revenue-sharing rights tied to Hyperliquid market infrastructure.
Staking income reached $785,000, up 49% from the previous quarter, while yield enhancement activities contributed another $381,000.
DeFi monetization revenue more than doubled to $334,000, supported by agreements involving trading infrastructure and market deployment.
In September, Hyperion worked with DoubleZero on the launch of Hyperliquid data feeds, creating another business line that the company expects to generate revenue from distributing market data.
Its validator had approximately 6.3 million HYPE delegated as of October 31, with Blockdaemon and Gemini among the platforms using its staking infrastructure.
Hyperion maintains 2026 profit guidance
Hyperion reiterated its full-year adjusted gross profit forecast of $7 million to $8 million, approximately six times its reported 2025 result.
The company generated $62,695 in adjusted net operating cash flow during Q3, compared with a $2.1 million outflow in Q2. Its GAAP operating cash flow remained negative at approximately $1.6 million.
Operating expenses excluding stock-based compensation fell 48% year over year to $2.24 million as the company continued reducing costs following the closure of its legacy biotechnology business.
In September, Hyperion entered an institutional credit partnership with Anchorage Digital and HyperLend through the Aviya platform, allowing borrowing against staked HYPE held in qualified custody.
The company said it is entitled to a share of future revenue generated through the platforms lending activities.
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