Hyperion DeFi Posts Record $39.6 Million Quarter, Core Business Breaks Even

Hyperion DeFi (NASDAQ: $HYPD), a Dallas-based company building DeFi businesses on Hyperliquid (CRYPTO: $HYPE), reported third-quarter net income of $39.6 million on Thursday, its third consecutive quarterly high.

Most of the profit came from gains on its digital assets, but the operating business also reached breakeven. Core operating earnings turned positive for the first time since the company adopted its DeFi strategy.

According to the press release, net income was $1.23 per diluted share. That compares with net income of $31.0 million in the prior quarter and $6.6 million a year earlier, while revenue was $810,415, up from $302,506 a year ago.

The company booked about $44.3 million in realized and unrealized gains on digital assets, its financial statements showed. Core operating earnings were $0.6 million, after a loss of $1.2 million in the prior quarter.

CEO Hyunsu Jung called it the company’s “first quarter of breakeven-or-better core operating profit and cash flows.” Hyperion hit that mark a quarter ahead of its year-end target, the company added.

Adjusted gross profit, a non-GAAP measure, rose 143% from the prior quarter to $2.8 million, above guidance of $2.0 million to $2.5 million. Hyperion held its full-year forecast of $7 million to $8 million.

The company paid off its roughly $8.6 million Avenue Capital loan, partly by selling about $13 million of HYPE, and now carries no long-term debt. It ended the quarter with $14.5 million in cash, cash equivalents and stablecoins.

Hyperion held 1.85 million HYPE tokens at Sept. 30, down from 2.04 million in June, worth $167.9 million at $90.80 per token.

The firm has also begun buying back shares under a $20 million program announced Sept. 8. The company repurchased 240,124 shares in September at about a 30% discount to net assets.

Shares of Hyperion DeFi (NASDAQ: HYPD) are currently trading at $2.71.