Securitize reports $21.7M Q2 loss, shares fall 20%

Securitize Corp. reported a $21.7 million net loss for the second quarter on August 12, more than tripling from a $6.1 million loss a year earlier, even as assets and transaction activity across its tokenization platform expanded. The results, its first earnings report since going public last month, sent shares down about 20% in after-hours trading. Revenue declined 5% year-over-year to $14.4 million, falling short of analyst expectations for $20.6 million.

The widening loss came as the company's operating expenses climbed 56% to $24.1 million, driven largely by higher selling, general, and administrative costs, which more than doubled. On a per-share basis, the loss was $2.37, far exceeding the $0.15 loss analysts had anticipated. Adjusted EBITDA swung to a loss of $5.5 million from a profit of $1.8 million in the same period last year.

Despite the weaker financial performance, key operational metrics showed growth. Average tokenized assets under management reached a record $4.3 billion, up 16% from the prior year, with the platform now managing approximately $5 billion in total assets. Aggregate transaction volume surged 147% to $5.3 billion during the quarter. Securitize's...