ALT5 Sigma Corporation (ALTS) is a dynamic fintech and biotech firm, aiming to revolutionize digital assets and health care. It offers blockchain-powered platforms like ALT5 Prime, an over-the-counter trading system for digital assets, and ALT5 Pay, a crypto payment gateway for seamless merchant transactions. In biotech, it develops non-opioid therapies, such as JAN101 for pain relief in arterial disease and JAN123 for chronic pain syndromes. Founded in 1976 and originally named JanOne until 2024, the co ...

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Group 1 - Alt5 Sigma (ALTS) has experienced significant volatility, particularly linked to its association with Donald Trump Jr.'s crypto ventures, including a $1.5 billion token-for-equity deal with World Liberty Financial [1] - The company regained Nasdaq compliance in mid-January 2026 after filing its delayed 10-Q, resulting in a sharp increase in share price [2][5] - ALTS operates as a boutique fintech/crypto infrastructure company, focusing on blockchain-powered payment and settlement networks, with most revenue derived from its fintech unit [3] Group 2 - ALTS shares have fluctuated dramatically, reaching a 52-week high of $11 in June 2025 before dropping significantly due to governance issues, and trading around $2.40 in mid-January 2026 after a 30% increase [4] - The stock has shown a 125% increase year-to-date, although it remains 78% below its peak in 2025 [4]

Revenue and Profit - Revenue for the 13 weeks ended September 27, 2025, was $7.575 million, an increase of approximately $2.6 million compared to $4.941 million for the same period in 2024[199]. - Gross profit for the same period increased to $2.623 million, up from $2.361 million, primarily due to the acquisition of Mswipe[200]. - Revenue for the 39 weeks ended September 27, 2025, was $19.5 million, a significant increase of approximately $12.4 million compared to $7.1 million for the same period in 2024[215][213]. - Gross profit for the 39 weeks ended September 27, 2025, was $8.0 million, representing a gross profit margin of 41.0%, compared to $3.5 million and a margin of 48.6% in 2024[216][214]. Expenses - Selling, general and administrative expenses rose significantly by approximately $17.6 million to $19.162 million, driven by higher bad debt expense and increased stock-based compensation[201]. - Selling, general and administrative expenses increased by approximately $22.1 million for the 39 weeks ended September 27, 2025, totaling $28.3 million, primarily due to increased bad debt and professional fees[217]. Net Income and Loss - The net loss from continuing operations before provision for income taxes was $58.734 million for the 13 weeks ended September 27, 2025[196]. - The net income (loss) for the 13 weeks ended September 27, 2025, was $48.962 million, compared to a loss of $(822) thousand for the same period in 2024[196]. - Net income from continuing operations for the 39 weeks ended September 27, 2025, was $38.8 million, compared to a loss of $1.1 million in 2024[212]. Adjusted EBITDA - Adjusted EBITDA for the 13 weeks ended September 27, 2025, was $(9.129) million, compared to $2.112 million for the same period in 2024, reflecting a consolidated adjusted EBITDA margin of (120.5%)[196]. - Adjusted EBITDA for the 39 weeks ended September 27, 2025, was $(10.8) million, a decrease of approximately $11.7 million compared to $0.9 million in 2024[227][226]. Cash Flow - Cash on hand as of September 27, 2025, was $7.3 million, with $3.5 million reserved for a legal matter[228]. - Cash used in continuing operations was approximately $15.5 million for the 39 weeks ended September 27, 2025, compared to cash provided by operations of approximately $3.7 million in 2024[230]. - Cash used in investing activities for continuing operations was $711.3 million for the 39 weeks ended September 27, 2025, primarily for the purchase of WLFI tokens[231]. - Cash provided by financing activities was $719.4 million for the 39 weeks ended September 27, 2025, mainly from equity financing and notes payable[233]. Future Plans and Segments - The Company plans to separate its Biotechnology segment, which is currently presented as discontinued operations[205]. - The company plans to raise funds to support future development of JAN 123 and may require additional debt financing for new acquisitions and clinical trials[234]. Other Financial Information - The Fintech segment reported revenue of $7.575 million with a gross margin percentage of 34.6% for the 13 weeks ended September 27, 2025[208]. - The Corporate and Other segment generated no revenue for both the 13 weeks ended September 27, 2025, and September 28, 2024[209]. - Unrealized gain on cryptocurrency assets for the 13 weeks ended September 27, 2025, was approximately $72.8 million, marking WLFI tokens to fair value[204]. - The company does not hold any derivative financial instruments[236]. - The company does not hold any securities for trading or speculative purposes[236].

Core Insights - ALT5 Sigma Corporation, a fintech company, reported its financial results for the fiscal quarter ending September 27, 2025, highlighting significant financial, strategic, and operational milestones achieved during the quarter [1]. Financial Performance - The company maintains a strategic digital asset treasury valued at $WLFI, which is integral to its operations [1]. - The financial results indicate meaningful progress in the company's blockchain-powered payment and trading infrastructure for digital assets [1]. Strategic Developments - ALT5 Sigma Corporation is focused on enhancing its card-based payment programs, which are part of its broader strategy to leverage digital assets [1]. - The company has made notable advancements in its operational capabilities, reflecting its commitment to growth in the fintech sector [1].

Core Viewpoint - ALT5 Sigma Corporation congratulates its strategic partner World Liberty Financial for its USD1 stablecoin surpassing $3 billion in market capitalization, highlighting the significance of this achievement in the fintech sector [1]. Group 1: Company Overview - ALT5 Sigma Corporation operates in the fintech industry, providing institutional-grade global payments, trading, and settlement infrastructure [1]. - The company is publicly listed on NASDAQ under the ticker ALTS and on FRA under 5AR1 [1]. Group 2: Strategic Partnership - World Liberty Financial, a strategic partner of ALT5, has achieved a significant milestone with its stablecoin, which has now exceeded a market capitalization of $3 billion [1]. - The CEO of ALT5, Tony Isaac, expressed enthusiasm about this achievement, indicating a positive outlook for the partnership [1].

Core Viewpoint - Robbins Geller Rudman & Dowd LLP is investigating potential violations of U.S. federal securities laws involving ALT5 Sigma Corporation, focusing on whether the company and its executives made false or misleading statements or failed to disclose material information to investors [1]. Company Overview - ALT5 Sigma Corporation operates in the blockchain technology sector through its Fintech and Biotechnology segments [2]. - The company announced plans to raise approximately $1.5 billion before fees through a registered direct offering and a private placement offering on August 11, 2025 [2]. Recent Developments - On August 29, 2025, ALT5 Sigma disclosed that its subsidiary, ALT5 Sigma Canada Inc., was found criminally liable for illicit enrichment and money laundering by a Rwandan court [3]. - An independent committee was appointed to investigate potential misstatements or omissions in the financial statements and material information by management [3]. - On October 22, 2025, the CEO, Peter Tassiopoulos, was suspended and removed from his duties [3]. - ALT5 Sigma announced on November 18, 2025, that it would not file its Quarterly Report on Form 10-Q on time [3]. - A leadership overhaul occurred on November 27, 2025, with the simultaneous departures of the CFO, Acting CEO, and COO, along with the appointment of a new Acting CEO and CFO [3]. - On November 28, 2025, the company disclosed the resignation of its independent registered public accounting firm, Hudgens CPA, PLLC [3]. - On December 3, 2025, ALT5 Sigma received a notice from Nasdaq regarding non-compliance with listing requirements due to the resignation of a board member [3].

Core Viewpoint - Hagens Berman has initiated an investigation into ALT5 Sigma Corporation due to potential false financial reporting and governance issues, which have led to a nearly 80% decline in stock value [1][2]. Investigation Focus - The investigation centers on whether ALT5 misled investors regarding the stability of its financial reporting and internal controls, particularly related to its $1.5 billion registered offering in August 2025 [2]. - The failure to file the Q3 report on time has resulted in a Nasdaq Non-Compliance Notice issued on December 2, 2025, alongside issues stemming from a subsidiary's criminal judgment for money laundering and a management purge [2][4]. Governance Concerns - There are discrepancies in the reporting timelines for the auditor's resignation and the CEO's suspension, suggesting systemic failures in corporate governance [4]. - The CEO, Peter Tassiopoulos, was suspended effective October 16, 2025, but internal communications indicated he was on leave as early as September 4, 2025, raising questions about timely disclosures [6]. Auditor and Executive Changes - The auditor, William Hudgens, resigned effective November 21, 2025, but had reportedly informed the company of his intention to step down before June 30, 2025, leading to questions about the delay in disclosure [6]. - The Audit Committee Chair resigned on November 25, 2025, following the formal Nasdaq Non-Compliance Notice [6]. Criminal Liability and Financial Reporting - The investigation highlights the failure to disclose a subsidiary's money laundering judgment and the company's ongoing review of potential misstatements in financial statements, which raises concerns about the integrity of internal controls and compliance with GAAP [6].

Core Insights - Robbins Geller Rudman & Dowd LLP is investigating potential violations of U.S. federal securities laws involving ALT5 Sigma Corporation, focusing on whether the company and its executives made false or misleading statements or failed to disclose material information to investors [1][2] Company Overview - ALT5 Sigma provides blockchain-powered technologies through its Fintech and Biotechnology segments [2] - On August 11, 2025, ALT5 Sigma announced plans to raise approximately $1.5 billion before fees through a registered direct offering and a private placement offering [2] Recent Developments - On August 29, 2025, ALT5 Sigma disclosed a judgment from the Intermediate Court of Nyarugenge, Rwanda, finding its subsidiary criminally liable for offenses including illicit enrichment and money laundering [3] - An independent committee was appointed by the Board to investigate potential misstatements or omissions in the financial statements [3] - On October 22, 2025, Peter Tassiopoulos was suspended as CEO, effective immediately, with pay [3] - ALT5 Sigma announced on November 18, 2025, that it would not file its Quarterly Report on Form 10-Q for that quarter in a timely manner [3] - A leadership overhaul occurred on November 27, 2025, with the rapid departures of the CFO, Acting CEO, and COO, alongside the appointment of a new Acting CEO and an experienced CFO [3] - On November 28, 2025, ALT5 Sigma's independent registered public accounting firm resigned due to the retirement of its sole partner [3] - On December 3, 2025, ALT5 Sigma received a notice from Nasdaq regarding non-compliance with listing requirements due to the resignation of a Board member [3]

Core Insights - ALT5 Sigma Corporation has released a strategic overview regarding the USD1 stablecoin and its significance to the company's long-term payments technology product [1] - The company is a prominent holder of $WLFI, which is the governance token of the World Lib [1] Company Overview - ALT5 Sigma Corporation operates in the fintech sector, focusing on global payments, trading, and settlement infrastructure [1] - The anticipated benefits of the USD1 stablecoin are expected to enhance the company's $WLFI Treasury Strategy [1]