Franklin Ethereum Trust Swings to $24.5M Loss in Q3 Fiscal 2026

Franklin Ethereum Trust posted a net loss of $24.5 million for the three months ending December 31, 2025, a sharp reversal from net income of $8.5 million in the same quarter a year earlier. The loss came despite the trust reporting positive nine-month results of $9.5 million for the period from April through December 2025. Read more earnings reports.

The Delaware-based trust held total assets of $59.7 million as of December 31, 2025, up from $21.6 million at the end of March 2025. Stockholders' equity stood at $65.2 million, down from $74.1 million at the end of September but up from $40.3 million a year earlier.

Balance Sheet Expansion

Total liabilities jumped to $2.3 million as of December 31, 2025, compared with just $8,924 nine months prior. The trust reported zero cash and restricted cash across all reporting periods, consistent with its cryptocurrency-focused structure.

The trust's equity base grew substantially during the year, climbing from $38.8 million as of March 31, 2025, to $65.2 million by year-end despite the third-quarter loss.

Cash Flow Activity

Cash used in operations totaled $28.6 million for the nine months ending December 31, 2025, an improvement from the $37.7 million used during the trust's initial period from July 23 through December 31, 2024. The trust offset operating cash outflows with $28.6 million in financing activities during the nine-month period.

Franklin Ethereum Trust operates as a non-accelerated filer with 2.65 million shares outstanding. The trust commenced operations in July 2024 and files as a small business under securities regulations.